The re-sale value of a leasehold property in Pembroke Dock depends on how many years the lease has left to run. If it is near to or fewer than 80 years you should envisage problems on re-sale, so it is advisable to arrange for a lease extension prior to purchasing. Ideally one should start the process of extending the lease is when a lease still has 82 years to run so that all matters can be finalised ahead of the eighty year cut off point. Statute enables Pembroke Dock qualifying lessees to a ninety year extension added to their residual lease term (ie if your lease has fifty years left the statutory lease extension will provide a new term of 140 years). The reason of the valuation is to determine the premium payable by the lessee to the freeholder for the acquisition of the lease extension.
It is conventional wisdom that a property with in excess of 100 years remaining is worth roughly the same as a freehold. Where an further 90 years added to all but the shortest lease, the property will be equivalent in value to a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Coventry Building Society | |
| Leeds Building Society | |
| Nationwide Building Society | |
| Skipton Building Society | |
| Yorkshire Building Society |
Using our service gives you better control over the value of your Pembroke Dock leasehold, as your property will be more valuable and saleable in relation to the lease length should you wish to sell. The conveyancing solicitors that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
Half a year ago Harvey, came very close to the 80-year mark with the lease on his garden apartment in Pembroke Dock. Having bought his flat two decades ago, the lease term was of little interest. Thankfully, he realised he would soon be paying an inflated amount for a lease extension. Harvey was able to extend his lease just under the wire last January. Harvey and the freeholder eventually settled on an amount of £5,500 . If the lease had fallen lower than 80 years, the figure would have become more exhorbitant by a minimum £1,125.
Last Christmas we were approach by Dr Isaac Lefebvre , who acquired a ground floor flat in Pembroke Dock in October 2003. We are asked if we could estimate the price would likely be to extend the lease by an additional years. Comparable residencies in Pembroke Dock with a long lease were in the region of £270,000. The average ground rent payable was £55 invoiced yearly. The lease lapsed on 12 January 2101. Given that there were 75 years outstanding we approximated the premium to the landlord for the lease extension to be within £9,500 and £11,000 plus expenses.
In 2009 we were e-mailed by Ms Isabella Fournier who, having owned a first floor apartment in Pembroke Dock in November 2006. We are asked if we could approximate the price could be to extend the lease by a further 90 years. Comparative homes in Pembroke Dock with an extended lease were worth £168,800. The mid-range amount of ground rent was £60 collected yearly. The lease lapsed on 3 May 2081. Considering the 55 years left we calculated the compensation to the freeholder to extend the lease to be within £30,400 and £35,200 not including expenses.