With a domestic leasehold property in Old Windsor, you are actually purchasing a right to reside in a property for a set period of time. Modern flat leases are usually granted for 99 years or 125. Even though this may appear like a lengthy 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 gets disproportionately more expensive particularly once there are fewer than 80 years remaining. Anyone in Old Windsor with a lease nearing 81 years remaining should seriously think of extending it sooner than later. When the lease term has fewer than 80 years left, under the relevant Act the landlord can calculate and demand a larger amount, assessed on a technical multiplication, strangely termed as “marriage value” which is due.
It is conventional wisdom that a property with in excess of 100 years remaining is worth approximately the equivalent as a freehold. Where an additional 90 years added to any lease with more than 45 years remaining, the residence will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Santander | |
| Royal Bank of Scotland | |
| Virgin | |
| Yorkshire Building Society |
Regardless of whether you are a tenant or a landlord in Old Windsor,the lease extension solicitors that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Old Windsor valuers.
Last Winter Ibrahim, came seriously close to the eighty-year mark with the lease on his studio flat in Old Windsor. Having bought his property 19 years previously, the length of the lease was of little bearing. Fortunately, it dawned on him that he needed to take action soon on a lease extension. Ibrahim was able to extend his lease just under the wire last August. Ibrahim and the landlord who owned the flat above ultimately agreed on the final figure of £5,000 . If he had missed the deadline, the figure would have escalated by a minimum £1,050.
Last Christmas we were e-mailed by Dr P Norbert , who owned a basement flat in Old Windsor in April 1999. The question was if we could estimate the compensation to the landlord would likely be for a ninety year extension to my lease. Comparative homes in Old Windsor with 100 year plus lease were in the region of £250,400. The average amount of ground rent was £65 invoiced monthly. The lease expired in 2090. Considering the 64 years unexpired we approximated the compensation to the freeholder to extend the lease to be between £19,000 and £22,000 not including costs.
Last Summer we were e-mailed by Dr Charlie Phillips , who moved into a studio flat in Old Windsor in September 2001. The question was if we could approximate the premium would likely be to extend the lease by a further 90 years. Identical flats in Old Windsor with 100 year plus lease were worth £189,000. The mid-range amount of ground rent was £55 collected per annum. The lease ran out on 23 November 2079. Taking into account 53 years outstanding we estimated the compensation to the landlord for the lease extension to be between £28,500 and £33,000 plus costs.