Sandhurst leases on residential properties are gradually losing value. if your lease has about ninety years unexpired, you should start thinking about a lease extension. An important point to note is that it is desirable for your lease extension to take place before the term of the current lease falls below 80 years - otherwise a higher premium will be payable. Leasehold owners in Sandhurst will usually qualify for a lease extension; however it’s a good idea to check with a conveyancing solicitor to confirm if you qualify. In some cases you may not be entitled. There are prescribed deadlines and steps to comply with once the process is initiated so it’s sensible to be guided by a lawyer during the process.
It is generally accepted that a property with more than 100 years remaining is worth approximately the same as a freehold. Where an additional 90 years added to all but the shortest lease, the premises will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Halifax | |
| National Westminster Bank | |
| The Mortgage Works | |
| Yorkshire Building Society |
Lease extensions in Sandhurst can be a difficult process. We recommend you obtain guidance from a conveyancing solicitor 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 a wealth of experience dealing with Sandhurst lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Twenty four months ago Tyler, came perilously close to the 80-year mark with the lease on his studio apartment in Sandhurst. Having bought his flat two decades ago, the unexpired term was of no concern. Luckily, he noticed he would imminently be paying way over the odds for a lease extension. Tyler extended the lease just under the wire last September. Tyler and the freeholder in the end settled on a premium of £6,000 . If the lease had slid lower than 80 years, the figure would have escalated by a minimum £900.
Mr Mason Ali moved into a one bedroom apartment in Sandhurst in January 2002. The dilemma was if we could shed any light on how much (approximately) premium would likely be for a ninety year lease extension. Similar homes in Sandhurst with 100 year plus lease were worth £210,000. The average amount of ground rent was £50 invoiced yearly. The lease terminated on 20 August 2106. Considering the 80 years unexpired we approximated the compensation to the landlord to extend the lease to be between £8,600 and £9,800 plus professional charges.
In 2014 we were contacted by Mr Callum Carter who, having purchased a purpose-built apartment in Sandhurst in January 1996. The question was if we could estimate the compensation to the landlord could be for a 90 year lease extension. Comparative residencies in Sandhurst with an extended lease were in the region of £275,000. The average amount of ground rent was £45 collected annually. The lease terminated on 25 June 2095. Having 69 years outstanding we calculated the premium to the freeholder to extend the lease to be within £12,400 and £14,200 not including expenses.