When it comes to residential leasehold property in Shelfield, you are in fact renting it for a certain amount of time. Modern flat leases are usually granted for 99 years or 125. Even though this may appear like a lengthy period of time, you should think about a lease extension sooner as opposed to later. Accepted thinking is that the shorter the number of years is the cost of extending the lease becomes disproportionately more expensive especially once there are less than eighty years remaining. Leasehold owners in Shelfield with a lease nearing 81 years unexpired should seriously consider extending it as soon as possible. When the lease term has below 80 years left, under the relevant Act the landlord can calculate and demand a larger amount, assessed on a technical multiplication, known as “marriage value” which is due.
It is conventional wisdom that a property with more than one hundred years unexpired lease term is worth roughly the same as a freehold. Where an further ninety years added to all but the shortest lease, the residence will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Barclays plc | |
| Barnsley Building Society | |
| Halifax | |
| Nationwide Building Society | |
| TSB |
Lease extensions in Shelfield can be a difficult process. We recommend you obtain professional help 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 Shelfield lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Last Autumn Cameron, started to get near to the eighty-year mark with the lease on his garden flat in Shelfield. In buying his home two decades ago, the lease term was of minimal significance. by good luck, he became aware that he needed to take action soon on Extending the lease. Cameron arranged for a lease extension just under the wire last June. Cameron and the freeholder via the management company subsequently settled on a premium of £6,000 . If the lease had dropped to less than eighty years, the amount would have become more exhorbitant by at least £1,150.
In 2014 we were contacted by Mrs Freya Allen who, having took over the lease of a purpose-built apartment in Shelfield in July 2008. We are asked if we could estimate the compensation to the landlord could be to extend the lease by ninety years. Comparable properties in Shelfield with an extended lease were worth £240,600. The mid-range amount of ground rent was £60 billed quarterly. The lease ran out in 2088. Given that there were 62 years remaining we calculated the premium to the freeholder for the lease extension to be within £21,900 and £25,200 exclusive of legals.
Last Spring we were approach by Dr Tyler Patel , who moved into a first floor flat in Shelfield in August 2008. The dilemma was if we could shed any light on how much (roughly) price would likely be for a 90 year lease extension. Similar flats in Shelfield with 100 year plus lease were valued about £174,200. The average ground rent payable was £55 billed per annum. The lease terminated in 2077. Taking into account 51 years as a residual term we calculated the premium to the landlord to extend the lease to be within £31,400 and £36,200 not including professional charges.