When it comes to long leasehold property in North Plymouth, you are in fact renting it for a certain amount of time. Modern flat leases are usually granted for 99 years or 125. Even though this may appear like a long period of time, you should think about a lease extension sooner as opposed to later. The general rule is that the shorter the lease is the cost of extending the lease increases markedly especially when there are less than 80 years remaining. Residents in North Plymouth with a lease drawing near to 81 years left should seriously think of extending it sooner as opposed to later. When a lease has under 80 years outstanding, under the relevant legislation the landlord can calculate and charge a greater premium, assessed on a technical multiplication, known as “marriage value” which is payable.
Leasehold premises in North Plymouth with in excess of 100 years left 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 |
|---|---|
| Halifax | |
| Leeds Building Society | |
| Santander | |
| Royal Bank of Scotland | |
| Yorkshire Building Society |
Using our service gives you better control over the value of your North Plymouth leasehold, as your property will be more valuable and saleable in relation to the lease length should you wish to sell. The conveyancers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
Aiden owned a studio apartment in North Plymouth on the market with a lease of just over fifty eight years left. Aiden on an informal basis approached his freeholder a well known London-based freehold company for a lease extension. The landlord was keen to grant an extension on non-statutory terms taking the lease to 125 years subject to a new rent initially set at £100 per annum and doubled every twenty five years thereafter. No ground rent would be due on a lease extension were Aiden to invoke his statutory right. Aiden procured expert legal guidance and secured satisfactory deal informally and sell the property.
Last Autumn we were approach by Mr and Mrs. L Jackson , who moved into a one bedroom flat in North Plymouth in January 2003. We are asked if we could estimate the price would likely be for a ninety year extension to my lease. Similar homes in North Plymouth with an extended lease were in the region of £174,200. The mid-range ground rent payable was £55 collected every twelve months. The lease elapsed on 18 March 2077. Given that there were 51 years as a residual term we estimated the compensation to the landlord for the lease extension to be between £31,400 and £36,200 plus expenses.
Dr A Kelly bought a ground floor flat in North Plymouth in August 2012. The question was if we could approximate the premium could be to extend the lease by ninety years. Similar residencies in North Plymouth with 100 year plus lease were worth £285,000. The mid-range ground rent payable was £45 billed monthly. The lease termination date was on 7 July 2097. Having 71 years as a residual term we estimated the premium to the landlord to extend the lease to be within £12,400 and £14,200 exclusive of expenses.