The basic rule is, all other factors being equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Radford may extend the lease for a further 90 years in accordance with the 1993 Leasehold Reform Act. Please think carefully before delaying your Radford lease extension. Putting off the costs now simply increases the premium you will eventually be required to pay for a lease extension.
Leasehold premises in Radford with more than one hundred years remaining on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and estate charges justify it.
| Lender | Requirement |
|---|---|
| Barclays plc | |
| Chelsea Building Society | |
| Halifax | |
| National Westminster Bank | |
| The Mortgage Works |
The conveyancers that we work with undertake Radford 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 conveyancing solicitor we work with provide it.
Last year Nathaniel, came dangerously close to the 80-year mark with the lease on his two bedroom flat in Radford. Having bought his property 19 years previously, the length of the lease was of minimal relevance. Fortunately, he noticed he needed to take action soon on Extending the lease. Nathaniel was able to extend his lease just in the nick of time last May. Nathaniel and the freeholder in the end settled on a premium of £6,000 . If the lease had descended below 80 years, the premium would have gone up by at least £1,075.
In 2014 we were e-mailed by Mr and Mrs. T Gómez who, having bought a ground floor apartment in Radford in August 2005. We are asked if we could shed any light on how much (roughly) premium could be for a ninety year lease extension. Comparative premises in Radford with an extended lease were worth £183,600. The average ground rent payable was £65 invoiced annually. The lease terminated on 22 August 2083. Taking into account 57 years left we approximated the compensation to the landlord to extend the lease to be between £28,500 and £33,000 plus fees.
Last month we were e-mailed by Mr and Mrs. B David , who acquired a first floor apartment in Radford in October 1999. We are asked if we could estimate the price would likely be for a ninety year extension to my lease. Similar residencies in Radford with 100 year plus lease were in the region of £250,000. The mid-range amount of ground rent was £50 collected quarterly. The lease elapsed in 2094. Having 68 years unexpired we estimated the compensation to the freeholder to extend the lease to be within £9,500 and £11,000 not including costs.