When it comes to domestic leasehold property in Prescot and Knowlsey, you effectively rent it for a certain period of time. In recent years flat leases typically tend to be for 99 years or 125. Many leasehold owners become complacent as this seems like a lengthy period of time, you may think about a lease extension sooner as opposed to later. Accepted thinking is that the shorter the lease is the cost of extending the lease increases markedly notably when there are less than 80 years remaining. Leasehold owners in Prescot and Knowlsey with a lease approaching 81 years left should seriously think of extending it as soon as possible. When a lease has less than 80 years left, under the current legislation the landlord is entitled to calculate and charge a larger amount, based on a technical multiplication, known as “marriage value” which is payable.
It is generally accepted that a residential leasehold with over 100 years unexpired lease term is worth approximately the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the residence will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Godiva Mortgages | |
| Halifax | |
| TSB | |
| Virgin | |
| Yorkshire Building Society |
Using our service gives you increased control over the value of your Prescot and Knowlsey leasehold, as your property will be more valuable and marketable in relation to the lease length should you wish to sell. The conveyancers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
Last Spring Noah, started to get close to the 80-year threshold with the lease on his one bedroom apartment in Prescot and Knowlsey. Having bought his flat 19 years ago, the length of the lease was of minimal importance. Thankfully, he realised he needed to take action soon on a lease extension. Noah was able to extend his lease just in the nick of time in January. Noah and the freeholder via the management company subsequently settled on an amount of £5,500 . If he failed to meet the deadline, the sum would have gone up by at least £1,100.
Mr and Mrs. O Smith completed a basement apartment in Prescot and Knowlsey in June 1999. The dilemma was if we could estimate the price could be for a ninety year lease extension. Comparable residencies in Prescot and Knowlsey with 100 year plus lease were worth £210,600. The average amount of ground rent was £45 collected annually. The lease elapsed on 12 March 2088. Considering the 62 years as a residual term we approximated the compensation to the freeholder for the lease extension to be between £18,100 and £20,800 exclusive of professional charges.
In 2009 we were approached by Dr Erin Green who, having was assigned a lease of a newly refurbished flat in Prescot and Knowlsey in May 2006. The dilemma was if we could approximate the premium could be to extend the lease by an additional years. Comparable residencies in Prescot and Knowlsey with an extended lease were valued around £265,000. The average ground rent payable was £50 billed yearly. The lease terminated in 2099. Given that there were 73 years unexpired we approximated the compensation to the landlord for the lease extension to be within £9,500 and £11,000 plus legals.