When it comes to domestic leasehold premises in St Annes, you are in fact renting it for a certain amount of time. These days 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. The general rule is that the shorter the number of years is the cost of extending the lease gets disproportionately more expensive particularly once there are less than eighty years remaining. Anyone in St Annes with a lease drawing near to 81 years unexpired should seriously consider extending it sooner than later. When the lease term has under eighty years outstanding, under the current legislation the landlord is entitled to calculate and levy a larger premium, based on a technical calculation, strangely termed as “marriage value” which is payable.
Leasehold residencies in St Annes with in excess of 100 years remaining on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such situations there is often little upside in buying the freehold unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Bank of Scotland | |
| Coventry Building Society | |
| Nationwide Building Society | |
| Virgin |
Irrespective of whether you are a tenant or a freeholder in St Annes,the lease extension experts that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with St Annes valuers.
Subsequent to unsuccessful discussions with the landlord of her leasehold flat in St Annes, Hannah started the lease extension process just as the lease was approaching the crucial 80-year threshold. The transaction was concluded in May 2012. The freeholder’s fees were kept to an absolute minimum.
Mr and Mrs. O Jones completed a one bedroom flat in St Annes in January 2010. The question was if we could approximate the price could be for a ninety year extension to my lease. Identical premises in St Annes with an extended lease were in the region of £270,000. The mid-range amount of ground rent was £55 collected quarterly. The lease ended on 1 February 2100. Given that there were 74 years unexpired we calculated the compensation to the landlord for the lease extension to be within £9,500 and £11,000 not including professional charges.
Last April we were phoned by Mr and Mrs. B Michel , who took over the lease of a ground floor apartment in St Annes in January 2003. The question was if we could estimate the price could be for a ninety year extension to my lease. Comparative flats in St Annes with 100 year plus lease were worth £166,400. The average ground rent payable was £60 billed annually. The lease terminated on 19 August 2080. Considering the 54 years left we approximated the premium to the freeholder to extend the lease to be between £32,300 and £37,400 exclusive of legals.