There is no doubt about it a leasehold flat or house in Ramsbottom is a wasting asset as a result of the diminishing lease term. Where the lease has, beyond one hundred years to run then this decrease may be fractional nevertheless there will become a point in time when a lease has less than eighty years unexpired as part of the premium you will incur is what is known as a marriage value. This could increase sharply the cost. It is the primary reason why you should extend the lease sooner than later. Most flat owners in Ramsbottom will meet the qualifying criteria; however a conveyancing solicitor can confirm whether you are eligible for a lease extension. In certain situations you may not qualify, the most common reason being that you have owned the property for under two years.
It is generally accepted that a residential leasehold with over 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an additional 90 years added to any lease with more than 30 years remaining, the property will be worth the same as a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | |
| Godiva Mortgages | |
| Leeds Building Society | |
| National Westminster Bank | |
| Yorkshire Building Society |
Engaging our service will provide you increased control over the value of your Ramsbottom leasehold, as your property will be more valuable and marketable in terms of lease length should you decide to sell. The conveyancing solicitors that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
Aarav owned a studio apartment in Ramsbottom on the market with a lease of a little over sixty years unexpired. Aarav informally approached his landlord a well known Manchester-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to grant an extension taking the lease to 125 years subject to an increased rent to £200 annually. Ordinarily, ground rent would not be payable on a lease extension were Aarav to exercise his statutory right. Aarav obtained expert advice and secured an acceptable deal without resorting to tribunal and ending up with a market value flat.
Last month we were called by Dr K Petit , who acquired a basement apartment in Ramsbottom in March 2001. We are asked if we could approximate the premium could be for a 90 year lease extension. Comparative residencies in Ramsbottom with a long lease were worth £181,600. The mid-range amount of ground rent was £55 collected per annum. The lease concluded on 21 June 2078. Taking into account 52 years outstanding we estimated the premium to the freeholder for the lease extension to be within £30,400 and £35,200 exclusive of professional charges.
Mr Stanley Adams acquired a basement flat in Ramsbottom in May 2010. The question was if we could approximate the premium could be for a 90 year extension to my lease. Similar homes in Ramsbottom with 100 year plus lease were in the region of £285,000. The average amount of ground rent was £45 invoiced quarterly. The lease elapsed in 2098. Taking into account 72 years outstanding we calculated the compensation to the landlord for the lease extension to be between £12,400 and £14,200 not including costs.