The rule of thumb is, all other things holding equal, the shorter the lease the more costly the premium. Qualifying leaseholders in Newtown have the legal entitlement to extend the lease for an additional ninety years in accordance with statute. Please think carefully before delaying your Newtown lease extension. Shelving the costs today simply increases the amount you will eventually have to pay for a lease extension.
Leasehold residencies in Newtown with more than 100 years remaining on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such circumstances there is often little to be gained by purchasing the freehold unless savings on ground rent and maintenance charges warrant it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Chelsea Building Society | |
| Skipton Building Society | |
| TSB | |
| The Mortgage Works |
Regardless of whether you are a tenant or a freeholder in Newtown,the lease extension solicitors that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Newtown valuers.
In 2014 Sebastian, came perilously near to the 80-year threshold with the lease on his purpose- built apartment in Newtown. Having purchased his home 19 years previously, the lease term was of little bearing. Fortunately, he became aware that he needed to take action soon on a lease extension. Sebastian arranged for a lease extension just in the nick of time in January. Sebastian and the landlord ultimately agreed on a premium of £5,000 . If he failed to meet the deadline, the price would have escalated by a minimum £850.
Last year we were called by Dr Aaron Wright , who owned a garden apartment in Newtown in October 2009. The question was if we could shed any light on how much (roughly) compensation to the landlord could be for a 90 year lease extension. Comparative homes in Newtown with 100 year plus lease were valued about £267,600. The average ground rent payable was £65 collected monthly. The lease end date was on 4 October 2093. Considering the 67 years as a residual term we calculated the compensation to the landlord to extend the lease to be between £14,300 and £16,400 exclusive of expenses.
Dr Cameron Adams moved into a ground floor flat in Newtown in July 1999. We are asked if we could shed any light on how much (approximately) price could be for a ninety year lease extension. Similar residencies in Newtown with an extended lease were valued around £201,200. The average ground rent payable was £55 billed quarterly. The lease elapsed on 6 March 2082. Considering the 56 years remaining we calculated the premium to the landlord for the lease extension to be within £31,400 and £36,200 not including costs.