Unfortunately that a St Columb residential lease is a deteriorating asset. The lease value reduces in proportion to its lease length. The extent of this is not fully appreciated in the early years due to the reduction being disguised by increases in the St Columb property market.Where your lease has approximately 90 years left, you need to start considering a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease slips below 80 years - otherwise a higher amount will be payable. Most flat owners in St Columb will be able to extend under the legislation; however a lawyer should be able to clarify if you are eligibility. In some cases you may not qualify. There are also strict timetables and procedures to be adhered to once the process has commenced and you will need to be guided by your conveyancing solicitor throughout the process.
Leasehold properties in St Columb with over 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 premises. In such circumstances there is often little to be gained by purchasing the freehold unless savings on ground rent and service charges justify it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Chelsea Building Society | |
| Santander | |
| The Mortgage Works | |
| Yorkshire Building Society |
Using our service gives you better control over the value of your St Columb leasehold, as your property will be more valuable and marketable in relation to the lease length should you decide 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.
During the course of the last few months Logan, came precariously near to the eighty-year mark with the lease on his garden apartment in St Columb. In buying his home 19 years previously, the length of the lease was of no relevance. Fortunately, he became aware that he would soon be paying an escalated premium for a lease extension. Logan arranged for a lease extension just under the wire in July. Logan and the landlord who owned the flat above subsequently settled on sum of £5,000 . If the lease had descended lower than 80 years, the amount would have gone up by at least £900.
Mrs Nicole Richardson was assigned a lease of a garden apartment in St Columb in August 1999. The dilemma was if we could shed any light on how much (roughly) compensation to the landlord could be for a ninety year extension to my lease. Comparative flats in St Columb with an extended lease were worth £205,000. The mid-range ground rent payable was £50 collected monthly. The lease elapsed in 2104. Having 78 years left we approximated the compensation to the freeholder to extend the lease to be between £8,600 and £9,800 not including legals.
Last March we were phoned by Mr Nathan Laurent , who owned a purpose-built flat in St Columb in May 2011. We are asked if we could shed any light on how much (roughly) premium would be to extend the lease by 90 years. Similar homes in St Columb with a long lease were worth £267,600. The average ground rent payable was £65 collected quarterly. The lease finished in 2093. Taking into account 67 years outstanding we calculated the premium to the landlord to extend the lease to be between £14,300 and £16,400 not including costs.