New Forest residential property owned on a long lease is a depreciating asset as the leaseholder merely owns the property for a period of years.
Leasehold premises in New Forest with in excess of one hundred years unexpired on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little to be gained by buying the freehold unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Barclays plc | |
| Nationwide Building Society | |
| TSB | |
| Virgin |
Lease extensions in New Forest can be a difficult process. We recommend you secure professional help from a lawyer and surveyor well versed in the legislation and lease extension process.
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 dealing with New Forest lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
After protracted correspondence with the freeholder of her one bedroom apartment in New Forest, Kirsty initiated the lease extension process as the eighty year threshold was fast nearing. The transaction was finalised in August 2007. The landlord’s charges were restricted to below 650 GBP.
In 2011 we were approached by Mrs Elizabeth Wilson who, having was assigned a lease of a garden flat in New Forest in July 2010. We are asked if we could shed any light on how much (approximately) compensation to the landlord would likely be for a ninety year lease extension. Identical residencies in New Forest with a long lease were in the region of £285,000. The mid-range amount of ground rent was £55 collected yearly. The lease terminated on 18 November 2106. Having 80 years left we estimated the premium to the landlord to extend the lease to be within £12,400 and £14,200 not including costs.
In 2013 we were phoned by Mr and Mrs. R Roux who, having took over the lease of a recently refurbished apartment in New Forest in June 2001. The question was if we could approximate the price could be to prolong the lease by a further 90 years. Comparable flats in New Forest with 100 year plus lease were valued about £200,800. The mid-range amount of ground rent was £65 billed annually. The lease concluded on 2 October 2086. Considering the 60 years unexpired we approximated the compensation to the landlord to extend the lease to be between £20,900 and £24,200 exclusive of legals.