Owning a apartment usually means owning a lease of the property, which has a set term of years. The lease will normally be granted for a prescribed period of time , usually 99 or 125 years, although we have come across longer and shorter terms in Snaith. Inevitably, the length of lease left shortens over time. This may pass by relatively unnoticed when the flat or house has to be disposed of or refinanced. The fewer the years remaining the less it is worth and the more it will cost to extend the lease. Eligible long lease owners in Snaith have the right to extend the lease for a further ninety years under statute. Do give careful attention before delaying your Snaith lease extension. Putting off that expense now simply increases the price you will eventually incur for a lease extension
It is conventional wisdom that a residential leasehold with over one hundred years remaining is worth roughly the equivalent as a freehold. Where an additional ninety years added to any lease with more than 35 years left, the premises will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | |
| Santander | |
| TSB | |
| The Mortgage Works | |
| Royal Bank of Scotland |
Engaging our service gives you better control over the value of your Snaith leasehold, as your property will be more valuable and saleable in terms of lease length should you want to sell. The lawyers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
Omar owned a conversion flat in Snaith on the market with a lease of a few days over 61 years left. Omar informally contacted his landlord being a well known London-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to grant an extension taking the lease to 125 years subject to a new rent initially set at £100 per annum and increase every twenty five years thereafter. No ground rent would be payable on a lease extension were Omar to exercise his statutory right. Omar procured expert advice and secured satisfactory resolution without resorting to tribunal and sell the flat.
Last February we were called by Mr and Mrs. B Leroy , who took over the lease of a recently refurbished flat in Snaith in February 2005. The dilemma was if we could shed any light on how much (roughly) compensation to the landlord would be to extend the lease by ninety years. Identical homes in Snaith with 100 year plus lease were in the region of £260,000. The average amount of ground rent was £50 billed quarterly. The lease expired on 24 January 2098. Considering the 72 years as a residual term we approximated the premium to the landlord for the lease extension to be within £9,500 and £11,000 plus costs.
Mr I Bailey purchased a basement flat in Snaith in November 1997. We are asked if we could shed any light on how much (roughly) premium would be for a 90 year extension to my lease. Comparative properties in Snaith with an extended lease were valued about £261,600. The average ground rent payable was £60 billed yearly. The lease terminated on 5 February 2078. Having 52 years unexpired we calculated the compensation to the landlord to extend the lease to be between £39,000 and £45,000 plus expenses.