The market value of a leasehold property in Stalybridge is impacted by how many years the lease has remaining. If it is near to or fewer than eighty years you should anticipate problems on re-sale, so it is advisable to arrange for the lease to be extended before buying. It is preferable to commence the lease extension process when a lease still has 82 years remaining so that formalities can be addressed prior to the 80 year mark. Statute entitles Stalybridge qualifying lessees to acquire a lease extension of ninety years in addition to the remaining lease term at a peppercorn rent (that is, rent free). The purpose of the valuation is to arrive at an opinion of the sum payable by the lessee to the freeholder for the acquisition of the lease extension.
It is conventional wisdom that a property with in excess of 100 years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional 90 years added to any lease with more than 30 years unexpired, the residence will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Leeds Building Society | |
| National Westminster Bank | |
| Nationwide Building Society | |
| Santander | |
| Yorkshire Building Society |
Using our service will provide you enhanced control over the value of your Stalybridge leasehold, as your property will be more valuable and saleable in relation to the lease length should you wish to sell. The lawyers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
Elijah was the the leasehold owner of a high value apartment in Stalybridge on the market with a lease of a few days over 59 years left. Elijah on an informal basis contacted his freeholder being a well known Bristol-based freehold company and enquired on a premium to extend the lease. The landlord was prepared to give an extension on non-statutory terms taking the lease to 125 years on the basis of an increased rent to £200 annually. Ordinarily, ground rent would not be payable on a lease extension were Elijah to exercise his statutory right. Elijah procured expert advice and was able to make a more informed judgement and deal with the matter and ending up with a market value flat.
Mr and Mrs. T Simon moved into a garden apartment in Stalybridge in March 2012. The question was if we could shed any light on how much (approximately) price would likely be to prolong the lease by ninety years. Comparative properties in Stalybridge with 100 year plus lease were in the region of £235,200. The mid-range amount of ground rent was £45 collected monthly. The lease finished in 2092. Considering the 66 years remaining we approximated the premium to the landlord for the lease extension to be within £12,400 and £14,200 plus costs.
In 2010 we were approached by Ms Niamh Peterson who, having completed a newly refurbished flat in Stalybridge in May 1998. The dilemma was if we could shed any light on how much (approximately) compensation to the landlord would likely be to extend the lease by ninety years. Identical residencies in Stalybridge with 100 year plus lease were in the region of £280,000. The average ground rent payable was £55 collected every twelve months. The lease ended on 2 August 2103. Considering the 77 years left we estimated the premium to the freeholder to extend the lease to be within £13,300 and £15,400 exclusive of fees.