Chances are that if you own a flat in Rossendale you actually own a long leasehold interest over your property
Leasehold premises in Rossendale with in excess of 100 years unexpired on the lease are often 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 buying the freehold unless savings on ground rent and maintenance charges merit it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Birmingham Midshires | |
| Halifax | |
| Leeds Building Society | |
| Royal Bank of Scotland |
The conveyancing solicitors that we work with procure Rossendale 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 conveyancer we work with provide it.
Henry owned a studio flat in Rossendale being sold with a lease of a few days over sixty years left. Henry informally approached his landlord being a well known Bristol-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to extend the lease to 125 years on the basis of a new rent at the outset set at £200 per annum and increase every twenty five years thereafter. Ordinarily, ground rent would not be payable on a lease extension were Henry to exercise his statutory right. Henry procured expert advice and was able to make a more informed decision and deal with the matter and sell the flat.
Last Autumn we were contacted by Mr and Mrs. J Thomas , who completed a garden apartment in Rossendale in January 2003. The dilemma was if we could estimate the premium would be for a 90 year extension to my lease. Comparative properties in Rossendale with an extended lease were in the region of £240,600. The average ground rent payable was £60 billed annually. The lease came to a finish in 2088. Considering the 62 years remaining we calculated the compensation to the landlord to extend the lease to be between £21,900 and £25,200 plus legals.
Dr Victoria Allen bought a first floor flat in Rossendale in February 2003. We are asked if we could shed any light on how much (approximately) price would be for a ninety year extension to my lease. Similar flats in Rossendale with 100 year plus lease were valued about £174,200. The mid-range amount of ground rent was £55 billed yearly. The lease lapsed on 17 February 2077. Given that there were 51 years unexpired we calculated the compensation to the freeholder for the lease extension to be within £31,400 and £36,200 exclusive of fees.