Unfortunately that a Newport Pagnell residential lease is a wasting asset. As the lease term diminishes so does the value of the property. The extent of this is not fully appreciated in the early years due to the deflation being disguised by increases in the Newport Pagnell property prices.Where your lease has approximately 90 years left, you need to start considering a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease dips under 80 years - otherwise a higher premium will be payable. Most leasehold owners in Newport Pagnell will be able to extend under the legislation; however a lawyer will be able to confirm whether you are eligibility. In some cases you may not qualify. There are also strict timetables and procedures to be adhered to once the process is initiated and you will need to be guided by your conveyancing solicitor throughout the formalities.
Leasehold premises in Newport Pagnell with over 100 years outstanding on the lease are often referred to as ‘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 purchasing the freehold unless savings on ground rent and maintenance charges warrant it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Halifax | |
| Leeds Building Society | |
| TSB | |
| Virgin |
Retaining our service gives you enhanced control over the value of your Newport Pagnell leasehold, as your property will be more valuable and marketable in terms of lease length should you want to sell. The conveyancers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
Adam was the the leasehold proprietor of a 2 bedroom apartment in Newport Pagnell being sold with a lease of a few days over fifty eight years remaining. Adam informally contacted his landlord being a well known Manchester-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to extend the lease to 125 years on the basis of an increased rent to £200 yearly. No ground rent would be due on a lease extension were Adam to invoke his statutory right. Adam obtained expert legal guidance and was able to make a more informed decision and handle with the matter and sell the flat.
Mr and Mrs. P Roberts moved into a first floor apartment in Newport Pagnell in April 2004. The question was if we could estimate the price would be for a 90 year extension to my lease. Comparable flats in Newport Pagnell with 100 year plus lease were in the region of £218,000. The mid-range amount of ground rent was £45 collected annually. The lease concluded on 25 November 2089. Given that there were 63 years as a residual term we estimated the premium to the landlord to extend the lease to be within £17,100 and £19,800 plus professional charges.
In 2009 we were approached by Mr Adam Roberts who, having was assigned a lease of a garden flat in Newport Pagnell in February 1998. We are asked if we could estimate the price would be for a 90 year extension to my lease. Comparable premises in Newport Pagnell with an extended lease were valued around £270,000. The average ground rent payable was £55 collected per annum. The lease terminated in 2100. Given that there were 74 years as a residual term we approximated the compensation to the landlord to extend the lease to be between £9,500 and £11,000 exclusive of professional charges.