When it comes to long leasehold property in Resolven, you are actually purchasing an entitlement to reside in a property for a set period of time. Modern flat leases typically tend to be for 99 years or 125. Many leasehold owners are unconcerned as this seems like a long period of time, you should think about extending the lease sooner rather than later. The general rule is that the shorter the lease is the cost of extending the lease increases markedly particularly when there are fewer than 80 years left. Anyone in Resolven with a lease approaching 81 years remaining should seriously think of extending it without delay. Once a lease has fewer than eighty years outstanding, under the relevant legislation the landlord can calculate and levy a greater amount, based on a technical multiplication, strangely termed as “marriage value” which is due.
Leasehold properties in Resolven with in excess of one hundred years outstanding on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such situations there is often little upside in buying the reversionary interest unless savings on ground rent and estate charges justify it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Barnsley Building Society | |
| Birmingham Midshires | |
| Halifax | |
| Leeds Building Society |
Irrespective of whether you are a tenant or a landlord in Resolven,the lease extension solicitors that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Resolven valuers.
Sebastian was the the leasehold proprietor of a high value flat in Resolven on the market with a lease of fraction over 61 years remaining. Sebastian informally contacted his freeholder a well known Manchester-based freehold company and enquired on a premium to extend the lease. The landlord was prepared to give an extension on non-statutory terms taking the lease to 125 years subject to a new rent to start with set at £150 per annum and increase every 25 years thereafter. No ground rent would be payable on a lease extension were Sebastian to invoke his statutory right. Sebastian procured expert legal guidance and secured an acceptable deal without going to tribunal and ending up with a market value flat.
In 2013 we were phoned by Mr and Mrs. R Adams who, having bought a ground floor apartment in Resolven in March 2008. We are asked if we could estimate the compensation to the landlord would likely be for a ninety year extension to my lease. Comparative homes in Resolven with a long lease were in the region of £218,000. The average amount of ground rent was £45 collected annually. The lease end date was on 21 July 2089. Taking into account 63 years unexpired we estimated the premium to the freeholder to extend the lease to be within £17,100 and £19,800 exclusive of fees.
In 2013 we were approached by Dr I Morgan who, having was assigned a lease of a one bedroom apartment in Resolven in April 2005. The question was if we could approximate the price would be to extend the lease by a further 90 years. Comparative flats in Resolven with an extended lease were valued around £265,000. The mid-range ground rent payable was £50 billed yearly. The lease came to a finish on 7 January 2100. Taking into account 74 years unexpired we calculated the premium to the landlord for the lease extension to be between £9,500 and £11,000 plus costs.