Little Mill leases on residential properties are gradually losing value. Where your lease has about ninety years left, you should start considering the need for a lease extension. An important point to note is that it is financially advisable for a lease extension to be in place before the term of the current lease drops lower than 80 years - otherwise a higher premium will be due. Leasehold owners in Little Mill will usually be legally entitled to a lease extension; however it’s a good idea to check with a conveyancer to check your eligibility. In some cases you may not be entitled. There are prescribed timetables and procedures to comply with once the process is triggered so it’s wise to be guided by a conveyancing solicitor during the process.
Leasehold residencies in Little Mill with over 100 years outstanding on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little upside in buying the freehold unless savings on ground rent and maintenance charges justify it.
| Lender | Requirement |
|---|---|
| Barclays plc | |
| Chelsea Building Society | |
| Coventry Building Society | |
| Nationwide Building Society | |
| The Mortgage Works |
Lease extensions in Little Mill can be a difficult process. We recommend you procure guidance from a conveyancer and surveyor with experience in this area.
We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have a wealth of experience procuring Little Mill lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Two years ago Milo, came precariously near to the 80-year mark with the lease on his garden apartment in Little Mill. In buying his property two decades ago, the lease term was of minimal concern. Thankfully, he became aware that he would imminently be paying an inflated amount for Extending the lease. Milo arranged for a lease extension at the eleventh hour last July. Milo and the landlord who owned the flat above subsequently settled on the final figure of £5,000 . If the lease had slipped lower than eighty years, the price would have increased by at least £950.
In 2014 we were approached by Mr and Mrs. Y Cook who, having owned a purpose-built flat in Little Mill in September 1998. The question was if we could estimate the premium would likely be for a 90 year lease extension. Comparable premises in Little Mill with an extended lease were worth £300,000. The average amount of ground rent was £50 billed annually. The lease came to a finish in 2102. Given that there were 76 years outstanding we estimated the premium to the landlord to extend the lease to be within £8,600 and £9,800 plus legals.
Mr Caleb Ward took over the lease of a garden flat in Little Mill in October 2009. We are asked if we could shed any light on how much (roughly) premium could be to prolong the lease by an additional years. Identical properties in Little Mill with an extended lease were in the region of £257,800. The average ground rent payable was £65 billed every twelve months. The lease terminated on 15 April 2091. Considering the 65 years as a residual term we calculated the compensation to the landlord for the lease extension to be between £17,100 and £19,800 plus legals.