On the balance of probabilities if you own a flat in Thirsk you actually own a long leasehold interest over your property
It is generally accepted that a property with over 100 years remaining is worth approximately the same as a freehold. Where an additional 90 years added to any lease with more than 35 years unexpired, the property will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Barclays plc | |
| Barnsley Building Society | |
| Coventry Building Society | |
| Skipton Building Society | |
| The Mortgage Works |
The lawyers that we work with handle Thirsk lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancer we work with provide it.
Michael owned a studio apartment in Thirsk being sold with a lease of a few days over 72 years left. Michael on an informal basis approached 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 extend the lease to 125 years on the basis of a new rent initially set at £150 per annum and doubled every twenty five years thereafter. No ground rent would be payable on a lease extension were Michael to invoke his statutory right. Michael procured expert legal guidance and secured satisfactory resolution informally and readily saleable.
Last Autumn we were approach by Ms E Simon , who owned a studio apartment in Thirsk in August 2000. We are asked if we could approximate the compensation to the landlord would be for a 90 year lease extension. Identical homes in Thirsk with a long lease were worth £260,000. The average ground rent payable was £50 collected per annum. The lease lapsed in 2098. Considering the 72 years remaining we approximated the premium to the landlord to extend the lease to be between £9,500 and £11,000 not including fees.
Mr and Mrs. A Morel acquired a one bedroom flat in Thirsk in January 2009. We are asked if we could shed any light on how much (roughly) price could be to prolong the lease by a further 90 years. Comparative premises in Thirsk with 100 year plus lease were valued about £261,600. The average ground rent payable was £60 invoiced per annum. The lease came to a finish in 2078. Taking into account 52 years unexpired we approximated the compensation to the freeholder to extend the lease to be between £39,000 and £45,000 exclusive of expenses.