The market value of Low Moor leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The cost of a lease extension can increase materialy once the remaining term is less than 80 years
It is conventional wisdom that a residential leasehold with more than one hundred years unexpired lease term is worth roughly the equivalent as a freehold. Where an additional ninety years added to any lease with more than 45 years unexpired, the property will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Barclays plc | |
| Barnsley Building Society | |
| Coventry Building Society | |
| Halifax | |
| Yorkshire Building Society |
Retaining our service will provide you better control over the value of your Low Moor leasehold, as your property will be more valuable and marketable in respect of lease length should you decide to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
Subsequent to lengthy negotiations with the freeholder of her two bedroom apartment in Low Moor, Molly commenced the lease extension process just as the lease was nearing the critical 80-year deadline. The lease extension was finalised in April 2005. The freeholder’s charges were negotiated to less than four hundred GBP.
Last Autumn we were approach by Dr V Gray , who bought a recently refurbished flat in Low Moor in April 1999. The question was if we could estimate the compensation to the landlord would be to extend the lease by an additional years. Comparative premises in Low Moor with a long lease were valued about £174,200. The mid-range amount of ground rent was £55 invoiced monthly. The lease came to a finish in 2077. Given that there were 51 years as a residual term we approximated the compensation to the landlord to extend the lease to be within £31,400 and £36,200 not including expenses.
Last Christmas we were contacted by Mr Theo Martínez , who acquired a purpose-built apartment in Low Moor in March 2008. We are asked if we could estimate the price would be for a 90 year lease extension. Identical premises in Low Moor with a long lease were in the region of £285,000. The mid-range ground rent payable was £45 invoiced per annum. The lease elapsed in 2097. Considering the 71 years outstanding we calculated the compensation to the landlord for the lease extension to be between £12,400 and £14,200 not including costs.