Southampton leases on residential deteriorating in value. if your lease has about ninety years remaining, you should start thinking about a lease extension. 80 years is a significant number: when the remaining term of a lease falls below this level then you begin paying an additional element called marriage value. Flat owners in Southampton will usually qualify for a lease extension; however a solicitor will check your eligibility. In some cases you may not be entitled. There are also strict deadlines and procedures to follow once the process has commenced so it’s prudent to be guided by a conveyancing solicitor during the process.
Leasehold residencies in Southampton with in excess of 100 years outstanding on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and service charges warrant it.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | |
| Birmingham Midshires | |
| Leeds Building Society | |
| National Westminster Bank | |
| Nationwide Building Society |
Irrespective of whether you are a tenant or a landlord in Southampton,the lease extension solicitors that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Southampton valuers.
Trailing lengthy discussions with the freeholder of her two bedroom flat in Southampton, Alicia commenced the lease extension process just as the lease was coming close to the all-important 80-year threshold. The transaction was finalised in October 2014. The freeholder’s charges were negotiated to approximately 500 pounds.
Dr G Edwards purchased a purpose-built flat in Southampton in September 2003. We are asked if we could shed any light on how much (roughly) compensation to the landlord would likely be to prolong the lease by ninety years. Comparable properties in Southampton with 100 year plus lease were in the region of £245,000. The average amount of ground rent was £50 invoiced per annum. The lease expired in 2094. Taking into account 68 years remaining we calculated the compensation to the landlord for the lease extension to be within £9,500 and £11,000 exclusive of fees.
In 2009 we were e-mailed by Dr M Brown who, having acquired a purpose-built apartment in Southampton in June 2000. We are asked if we could approximate the compensation to the landlord would be for a ninety year lease extension. Comparative flats in Southampton with an extended lease were valued around £285,000. The average amount of ground rent was £55 collected annually. The lease finished on 16 October 2105. Given that there were 79 years remaining we approximated the compensation to the landlord for the lease extension to be between £13,300 and £15,400 not including costs.