Peterborough leases on domestic properties are gradually losing value. if your lease has approximately 90 years unexpired, you should start thinking about a lease extension. It is important to recognise that it is that it is desirable for the lease extension to be in place before the term of the current lease drops lower than eighty years - otherwise a higher premium will be due. Leasehold owners in Peterborough will usually be legally entitled to a lease extension; however a solicitor should be able confirm if you qualify. In some situations you may not be entitled. There are prescribed deadlines and formalities to follow once the process has commenced so it’s prudent to be guided by a conveyancing solicitor during the process.
Leasehold residencies in Peterborough with more than one hundred years outstanding on the lease are often referred to as ‘virtual freehold’. This is where the lease value 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 warrant it.
| Lender | Requirement |
|---|---|
| Coventry Building Society | |
| Godiva Mortgages | |
| Nationwide Building Society | |
| Royal Bank of Scotland | |
| Virgin |
The conveyancers that we work with procure Peterborough 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 lawyer we work with provide it.
In recent months Eliot, started to get near to the 80-year threshold with the lease on his garden flat in Peterborough. In buying his flat two decades ago, the length of the lease was of minimal significance. Thankfully, he realised he would soon be paying an inflated amount for a lease extension. Eliot was able to extend his lease just ahead of time in March. Eliot and the landlord who owned the flat above in the end settled on the final figure of £5,500 . If the lease had slid lower than eighty years, the sum would have gone up by at least £950.
Mr and Mrs. T Brown owned a recently refurbished flat in Peterborough in May 2010. The question was if we could approximate the price could be for a 90 year extension to my lease. Comparable residencies in Peterborough with a long lease were valued around £270,000. The mid-range amount of ground rent was £55 billed every twelve months. The lease expired on 19 May 2100. Taking into account 74 years unexpired we calculated the compensation to the freeholder for the lease extension to be within £9,500 and £11,000 not including expenses.
Last year we were approach by Mrs Tia Thompson , who moved into a first floor apartment in Peterborough in March 2003. The question was if we could shed any light on how much (approximately) premium would likely be to extend the lease by an additional years. Comparative homes in Peterborough with a long lease were valued about £166,400. The average ground rent payable was £60 invoiced quarterly. The lease concluded in 2080. Taking into account 54 years outstanding we calculated the premium to the freeholder for the lease extension to be between £32,300 and £37,400 not including costs.