It’s a harsh truth that a Pontefract residential lease is a deteriorating asset. The lease value reduces in proportion to its lease length. The extent of this is taken for granted in the early years due to the depreciation being disguised by increases in the Pontefract property market.Once your lease nears 85ish years, you need to start thinking about a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease falls under eighty years - otherwise a higher premium will be due. The majority of leasehold owners in Pontefract will be able to extend under the legislation; however a conveyancing solicitor will be able to clarify whether you are eligibility. In some cases you may not qualify. There are also strict timetables and procedures to follow once the process has commenced and you will need to be guided by your conveyancer from beginning to end of the formalities.
It is conventional wisdom that a property with in excess of one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an further ninety years added to all but the shortest lease, the premises will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | |
| Birmingham Midshires | |
| Skipton Building Society | |
| Virgin | |
| Yorkshire Building Society |
Lease extensions in Pontefract can be a difficult process. We recommend you procure professional help from a conveyancing solicitor and valuer with experience in this area.
We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have in-depth market knowledge procuring Pontefract lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Two years ago Evan, came precariously close to the 80-year threshold with the lease on his first floor flat in Pontefract. Having bought his flat 18 years ago, the lease term was of no significance. by good luck, it dawned on him that he needed to take action soon on a lease extension. Evan extended the lease at the eleventh hour in August. Evan and the freeholder subsequently settled on the final figure of £5,000 . If he failed to meet the deadline, the sum would have become more costly by a minimum £850.
Last Winter we were called by Mr and Mrs. D Ramírez , who purchased a first floor apartment in Pontefract in February 1996. We are asked if we could estimate the compensation to the landlord could be for a 90 year extension to my lease. Comparable homes in Pontefract with 100 year plus lease were worth £270,000. The average ground rent payable was £55 collected every twelve months. The lease expired in 2101. Taking into account 75 years remaining we estimated the compensation to the landlord to extend the lease to be between £9,500 and £11,000 not including expenses.
Last year we were phoned by Ms Robyn Rogers , who acquired a first floor apartment in Pontefract in July 2009. The question was if we could shed any light on how much (approximately) compensation to the landlord would likely be to extend the lease by an additional years. Identical properties in Pontefract with an extended lease were valued about £168,800. The average amount of ground rent was £60 invoiced every twelve months. The lease finished in 2081. Taking into account 55 years outstanding we estimated the premium to the landlord to extend the lease to be between £31,400 and £36,200 plus fees.