With a long leasehold property in Parson Cross, you are in fact renting it for a certain period of time. These days flat leases are usually granted for 99 years or 125. Many leasehold owners are unconcerned as this seems like a lengthy period of time, you may think about extending the lease sooner as opposed to later. Accepted thinking is that the shorter the number of years is the cost of extending the lease increases markedly notably once there are fewer than 80 years left. Leasehold owners in Parson Cross with a lease nearing 81 years unexpired should seriously consider extending it sooner than later. When the lease term has below eighty years left, under the relevant statute the freeholder is entitled to calculate and demand a greater amount, assessed on a technical computation, known as “marriage value” which is due.
Leasehold residencies in Parson Cross with in excess of 100 years remaining on the lease are sometimes 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 upside in buying the freehold unless savings on ground rent and estate charges merit it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Birmingham Midshires | |
| Chelsea Building Society | |
| Halifax | |
| Virgin |
Retaining our service will provide you enhanced control over the value of your Parson Cross leasehold, as your property will be more valuable and marketable in respect of lease length should you want to sell. The conveyancers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
Tommy was the the leasehold proprietor of a 2 bedroom flat in Parson Cross on the market with a lease of just over 72 years unexpired. Tommy on an informal basis spoke with his landlord a well known Manchester-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to extend the lease to 125 years subject to a new rent at the outset set at £200 per annum and doubled every twenty five years thereafter. Ordinarily, ground rent would not be payable on a lease extension were Tommy to invoke his statutory right. Tommy procured expert legal guidance and was able to make an informed decision and deal with the matter and ending up with a market value flat.
Mr Callum Evans owned a first floor flat in Parson Cross in August 2010. We are asked if we could estimate the premium would be to prolong the lease by an additional years. Similar residencies in Parson Cross with a long lease were in the region of £246,800. The average amount of ground rent was £60 collected quarterly. The lease ended in 2076. Taking into account 50 years left we approximated the premium to the freeholder to extend the lease to be within £44,700 and £51,600 not including fees.
Dr C Smith completed a studio flat in Parson Cross in October 2012. We are asked if we could shed any light on how much (approximately) price would be to prolong the lease by a further 90 years. Identical homes in Parson Cross with an extended lease were worth £208,200. The mid-range ground rent payable was £65 billed per annum. The lease terminated in 2087. Considering the 61 years outstanding we estimated the compensation to the freeholder for the lease extension to be within £20,000 and £23,000 plus professional charges.