Owning a apartment usually means owning a lease of the property, this is a ‘time-limited’ interest becoming shorter every day. This lease will normally be granted for a set period of time , ordinarily 99 or 125 years, although we have seen longer and shorter terms in Milnthorpe. Clearly, the length of lease left shortens over time. This is often overlooked and only becomes a problem when the flat or house needs to be disposed of or refinanced. The fewer the years remaining the lower the value of the property and the more it will cost to extend the lease. Qualifying long lease owners in Milnthorpe have the legal entitlement to extend the lease for an additional 90 years in accordance with statute. You should give careful attention before delaying your Milnthorpe lease extension. Putting off the cost now only increases the price you will eventually have to pay to extend your lease
It is generally accepted that a residential leasehold with over one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an further ninety years added to all but the shortest lease, the residence will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | |
| Godiva Mortgages | |
| Halifax | |
| Leeds Building Society | |
| Santander |
Lease extensions in Milnthorpe can be a difficult process. We recommend you get professional help from a conveyancer and valuer 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 in-depth market knowledge procuring Milnthorpe lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Noah owned a 2 bedroom flat in Milnthorpe being marketed with a lease of just over sixty years unexpired. Noah informally approached his freeholder being a well known Bristol-based freehold company and enquired on a premium to extend the lease. The freeholder was prepared to grant an extension on non-statutory terms taking the lease to 125 years subject to an increased rent to £50 annually. No ground rent would be due on a lease extension were Noah to exercise his statutory right. Noah obtained expert legal guidance and was able to make a more informed judgement and handle with the matter and sell the flat.
In 2011 we were phoned by Mr R Khan who, having completed a purpose-built apartment in Milnthorpe in April 2002. We are asked if we could approximate the price would likely be for a ninety year lease extension. Identical flats in Milnthorpe with an extended lease were worth £171,800. The mid-range amount of ground rent was £55 billed annually. The lease concluded on 5 August 2076. Considering the 50 years unexpired we calculated the premium to the landlord for the lease extension to be between £33,300 and £38,400 exclusive of costs.
In 2010 we were called by Dr Sarah Rodríguez who, having moved into a studio apartment in Milnthorpe in March 1996. The dilemma was if we could approximate the compensation to the landlord could be to prolong the lease by ninety years. Similar properties in Milnthorpe with 100 year plus lease were valued about £280,000. The average amount of ground rent was £45 collected yearly. The lease terminated on 8 May 2096. Having 70 years unexpired we estimated the compensation to the landlord to extend the lease to be between £12,400 and £14,200 exclusive of expenses.