As the the remaining lease term of a Shrivenham domestic lease lessens so does its value and therefore the value of your property. Where the residual term has, beyond 100 years remaining then this decrease may be of little impact nevertheless there will become a point in time when a lease has less than 80 years unexpired as part of the premium you will incur is what is known as a marriage value. This could increase sharply the cost. It is the main rational as to why you should consider extending sooner as opposed to later. Many flat owners in Shrivenham will meet the qualifying criteria; that being said a conveyancer can confirm whether you are eligible to extend your lease. In certain situations you may not qualify, the most common reason being that you have not been the owner of the property for two years.
Leasehold properties in Shrivenham with over one hundred years outstanding on the lease are sometimes 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 upside in purchasing the freehold unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Bank of Scotland | |
| Birmingham Midshires | |
| Halifax | |
| TSB |
Engaging our service will provide you better control over the value of your Shrivenham leasehold, as your property will be more valuable and saleable in relation to the lease length should you want to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
Logan was the the leasehold owner of a high value flat in Shrivenham being sold with a lease of a little over sixty years left. Logan on an informal basis approached his freeholder being a well known Bristol-based freehold company for a lease extension. The freeholder indicated a willingness to extend the lease to 125 years on the basis of a new rent at the outset set at £100 per annum and increase every 25 years thereafter. Ordinarily, ground rent would not be due on a lease extension were Logan to invoke his statutory right. Logan obtained expert advice and secured an acceptable resolution without resorting to tribunal and sell the property.
Last year we were contacted by Dr Joshua Campbell , who completed a first floor apartment in Shrivenham in March 2004. We are asked if we could shed any light on how much (roughly) compensation to the landlord would likely be for a ninety year lease extension. Similar homes in Shrivenham with a long lease were valued around £200,800. The average ground rent payable was £65 billed annually. The lease end date was on 24 September 2086. Considering the 60 years as a residual term we calculated the compensation to the landlord for the lease extension to be within £20,900 and £24,200 exclusive of professional charges.
Mr and Mrs. K Lee moved into a one bedroom flat in Shrivenham in June 2008. We are asked if we could shed any light on how much (roughly) compensation to the landlord would be to extend the lease by a further 90 years. Identical flats in Shrivenham with a long lease were in the region of £255,000. The average amount of ground rent was £50 billed quarterly. The lease finished on 21 January 2097. Having 71 years unexpired we estimated the premium to the freeholder to extend the lease to be within £9,500 and £11,000 not including expenses.