With a residential leasehold premises in Miskin, you are actually buying a right to reside in a property for a prescribed time frame. In recent years flat leases are usually granted for 99 years or 125. Even though this may appear like a long period of time, you may consider a lease extension sooner rather than later. The general rule is that the shorter the number of years is the cost of extending the lease gets disproportionately more expensive especially when there are less than eighty years remaining. Residents in Miskin with a lease drawing near to 81 years left should seriously think of extending it sooner than later. Once a lease has less than 80 years left, under the current legislation the landlord is entitled to calculate and demand a greater premium, based on a technical calculation, strangely termed as “marriage value” which is due.
Leasehold residencies in Miskin with more than 100 years outstanding on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such circumstances there is often little upside in buying the reversionary interest unless savings on ground rent and estate charges merit it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Barclays plc | |
| Leeds Building Society | |
| Skipton Building Society | |
| Yorkshire Building Society |
The conveyancing solicitors that we work with handle Miskin lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancer we work with provide it.
Aaron was the the leasehold owner of a 2 bedroom apartment in Miskin being marketed with a lease of just over fifty eight years remaining. Aaron on an informal basis contacted his freeholder being a well known local-based freehold company for a lease extension. 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. Ordinarily, ground rent would not be due on a lease extension were Aaron to exercise his statutory right. Aaron obtained expert legal guidance and was able to make a more informed judgement and handle with the matter and readily saleable.
Last Autumn we were called by Mrs L Moreau , who acquired a purpose-built apartment in Miskin in March 2008. The dilemma was if we could approximate the premium would be to prolong the lease by ninety years. Similar premises in Miskin with a long lease were worth £295,000. The mid-range ground rent payable was £45 billed per annum. The lease ended in 2100. Having 74 years outstanding we estimated the compensation to the landlord for the lease extension to be between £8,600 and £9,800 not including expenses.
Mr F Nelson purchased a studio flat in Miskin in October 2002. We are asked if we could estimate the price could be to extend the lease by an additional years. Similar flats in Miskin with an extended lease were worth £248,000. The mid-range amount of ground rent was £65 collected quarterly. The lease ran out on 12 May 2089. Given that there were 63 years left we approximated the compensation to the freeholder for the lease extension to be within £20,000 and £23,000 plus expenses.