Unfortunately that a Rochester residential lease is a deteriorating asset. The lease value reduces in proportion to its lease length. The extent of this is taken for granted in the first few years due to the loss of value being disguised by increases in the Rochester property market.Once your lease gets to 85ish years, you should start thinking about a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease dips below eighty years - otherwise a higher amount will be due. Most leasehold owners in Rochester will be able to extend under the legislation; however a conveyancer should be able to clarify if you qualify for an extension. In some situations you may not be entitled. There are also strict timetables and procedures to follow once the process has commenced and you will need to be guided by your conveyancing solicitor for the duration of the formalities.
Leasehold premises in Rochester with in excess of 100 years outstanding on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such circumstances there is often little upside in buying the freehold unless savings on ground rent and service charges warrant it.
| Lender | Requirement |
|---|---|
| Coventry Building Society | |
| Leeds Building Society | |
| National Westminster Bank | |
| Santander | |
| The Mortgage Works |
Lease extensions in Rochester can be a difficult process. We recommend you secure guidance from a conveyancer and valuer well versed in the legislation and lease extension process.
We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have in-depth market knowledge dealing with Rochester lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Following lengthy negotiations with the landlord of her studio apartment in Rochester, Imogen commenced the lease extension process as the eighty year deadline was fast approaching. The transaction completed in June 2013. The freeholder’s fees were kept to an absolute minimum.
In 2014 we were contacted by Ms B Mason who, having bought a one bedroom flat in Rochester in May 2009. We are asked if we could approximate the premium could be to extend the lease by 90 years. Identical flats in Rochester with a long lease were valued about £171,800. The average ground rent payable was £55 billed annually. The lease elapsed in 2076. Considering the 50 years remaining we approximated the compensation to the landlord to extend the lease to be within £33,300 and £38,400 exclusive of legals.
Ms U Michel completed a garden apartment in Rochester in April 1995. We are asked if we could approximate the compensation to the landlord could be to extend the lease by ninety years. Comparative homes in Rochester with a long lease were in the region of £280,000. The mid-range amount of ground rent was £45 billed per annum. The lease lapsed in 2096. Having 70 years unexpired we calculated the compensation to the landlord to extend the lease to be between £12,400 and £14,200 exclusive of costs.