Pangbourne leases on residential properties are gradually losing value. Where your lease has in the region of ninety years remaining, you should start considering the need for a lease extension. Eighty years is a significant number: when the unexpired term of a lease falls below this level then you start paying an additional element called marriage value. Flat owners in Pangbourne will mostly be legally entitled to a lease extension; however it’s a good idea to check with a conveyancer to confirm your eligibility. In certain situations you may not be entitled. There are also strict timetables and procedures to follow once the process has commenced so it’s prudent to be guided by a lawyer during the process.
Leasehold properties in Pangbourne with more than one hundred years outstanding on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such situations there is often little to be gained by purchasing the freehold unless savings on ground rent and service charges justify it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Bank of Scotland | |
| Birmingham Midshires | |
| The Mortgage Works | |
| Royal Bank of Scotland |
The lawyers that we work with undertake Pangbourne 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 conveyancing solicitor we work with provide it.
Last October Hugo, started to get close to the eighty-year mark with the lease on his first floor apartment in Pangbourne. In buying his property two decades ago, the length of the lease was of minimal importance. by good luck, he realised he needed to take steps soon on Extending the lease. Hugo arranged for a lease extension at the eleventh hour last March. Hugo and the freeholder in the end settled on the final figure of £5,000 . If he failed to meet the deadline, the amount would have escalated by a minimum £1,075.
In 2011 we were contacted by Ms D Torres who, having moved into a ground floor flat in Pangbourne in July 1998. The dilemma was if we could shed any light on how much (approximately) premium would be for a ninety year extension to my lease. Comparative premises in Pangbourne with an extended lease were valued around £210,000. The mid-range ground rent payable was £50 collected per annum. The lease concluded on 11 January 2106. Given that there were 80 years unexpired we approximated the premium to the landlord for the lease extension to be between £8,600 and £9,800 plus fees.
Ms A King owned a purpose-built apartment in Pangbourne in September 2001. We are asked if we could approximate the premium could be to extend the lease by ninety years. Comparative properties in Pangbourne with 100 year plus lease were valued around £280,000. The mid-range amount of ground rent was £45 billed quarterly. The lease expired on 5 July 2095. Taking into account 69 years unexpired we estimated the premium to the landlord to extend the lease to be between £12,400 and £14,200 plus fees.