Rainford leases on domestic properties are gradually losing value. Where your lease has in the region of ninety years left, you should start considering the need for a lease extension. Eighty years is a significant number: when the unexpired term of a lease falls below this level then you begin paying an additional element called marriage value. Leasehold owners in Rainford will mostly qualify for a lease extension; however It would be wise to check with a conveyancing solicitor to check if you qualify. In some cases you may not qualify. There are prescribed deadlines and formalities to comply with once the process is triggered so it’s sensible to be guided by a conveyancer during the process.
It is conventional wisdom that a residential leasehold with more than one hundred years remaining is worth approximately the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the property will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Bank of Scotland | |
| Barnsley Building Society | |
| Skipton Building Society | |
| Royal Bank of Scotland |
Retaining our service gives you increased control over the value of your Rainford leasehold, as your property will be more valuable and saleable in relation to the lease length should you wish to sell. The conveyancers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
In recent months Owen, came precariously close to the 80-year threshold with the lease on his first floor apartment in Rainford. Having bought his home two decades ago, the lease term was of minimal bearing. Luckily, he became aware that he needed to take action soon on Extending the lease. Owen extended the lease just ahead of time in August. Owen and the freeholder via the managing agents in the end settled on the final figure of £6,000 . If the lease had dipped lower than 80 years, the sum would have gone up by a minimum £1,050.
Last March we were phoned by Mr and Mrs. M Wright , who completed a recently refurbished flat in Rainford in July 2001. We are asked if we could shed any light on how much (roughly) price would be for a 90 year lease extension. Comparable flats in Rainford with a long lease were in the region of £270,000. The mid-range ground rent payable was £55 invoiced yearly. The lease came to a finish in 2101. Taking into account 75 years left we approximated the compensation to the landlord to extend the lease to be between £9,500 and £11,000 exclusive of costs.
Last Spring we were phoned by Ms R Dupont , who moved into a recently refurbished apartment in Rainford in October 2006. The question was if we could approximate the compensation to the landlord would be to prolong the lease by ninety years. Similar properties in Rainford with a long lease were valued around £168,800. The average amount of ground rent was £60 invoiced annually. The lease terminated in 2081. Considering the 55 years unexpired we approximated the premium to the freeholder for the lease extension to be within £31,400 and £36,200 not including fees.