The rule of thumb is, all other factors being equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Norton may extend the lease for a further 90 years in accordance with statute. Please give careful consideration before delaying your Norton lease extension. Putting off the costs now simply escalates the price you will eventually have to pay for a lease extension.
Leasehold premises in Norton with in excess of 100 years remaining on the lease are often regarded as a ‘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 reversionary interest unless savings on ground rent and maintenance charges merit it.
| Lender | Requirement |
|---|---|
| Chelsea Building Society | |
| Coventry Building Society | |
| Halifax | |
| Leeds Building Society | |
| Royal Bank of Scotland |
The conveyancing solicitors that we work with undertake Norton 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.
Last October Rory, started to get close to the eighty-year mark with the lease on his basement apartment in Norton. Having bought his home two decades ago, the lease term was of minimal concern. As luck would have it, he noticed he would imminently be paying way over the odds for Extending the lease. Rory was able to extend his lease just under the wire in April. Rory and the landlord ultimately agreed on a premium of £6,000 . If the lease had dropped lower than 80 years, the premium would have become more exhorbitant by at least £875.
In 2011 we were contacted by Mr Matthew Campbell who, having was assigned a lease of a one bedroom flat in Norton in August 2001. The dilemma was if we could estimate the price would be to extend the lease by an additional years. Comparable residencies in Norton with an extended lease were worth £270,000. The average amount of ground rent was £55 billed monthly. The lease finished on 22 June 2100. Considering the 74 years as a residual term we calculated the premium to the landlord for the lease extension to be between £9,500 and £11,000 not including costs.
Last month we were called by Mr Dylan Bennett , who bought a purpose-built flat in Norton in August 2002. The question was if we could estimate the premium could be for a ninety year extension to my lease. Similar flats in Norton with an extended lease were in the region of £166,400. The mid-range amount of ground rent was £60 billed quarterly. The lease expired in 2080. Taking into account 54 years left we estimated the compensation to the landlord for the lease extension to be between £32,300 and £37,400 not including costs.