It’s a harsh truth that a Timperley 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 depreciation being disguised by increases in the Timperley property prices.Where your lease has approximately 90 years left, you need to start considering a lease extension. If the number of years remaining falls under 80 years, you will end up paying 50% of the property's 'marriage value' on top of the usual cost of the lease extension to the landlord. Marriage value is the amount of extra value that a lease extension will add the property Most flat owners in Timperley will be able to extend under the legislation; however a lawyer should be able to confirm whether you qualify for an extension. 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 conveyancer throughout the formalities.
Leasehold premises in Timperley with more than one hundred years outstanding on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such circumstances there is often little to be gained by buying the reversionary interest unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | |
| Chelsea Building Society | |
| Leeds Building Society | |
| National Westminster Bank | |
| Skipton Building Society |
Using our service will provide you increased control over the value of your Timperley leasehold, as your property will be more valuable and saleable in terms of lease length should you decide to sell. The lawyers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
Twenty four months ago Theo, started to get close to the 80-year threshold with the lease on his first floor flat in Timperley. Having purchased his home two decades ago, the unexpired term was of little interest. by good luck, he realised he needed to take steps soon on Extending the lease. Theo extended the lease just ahead of time last May. Theo and the freeholder subsequently settled on a premium of £6,000 . If the lease had gone lower than 80 years, the amount would have gone up by a minimum £925.
In 2009 we were phoned by Mr and Mrs. U Girard who, having bought a basement apartment in Timperley in January 2011. We are asked if we could shed any light on how much (approximately) compensation to the landlord would be to prolong the lease by an additional years. Similar residencies in Timperley with 100 year plus lease were in the region of £174,200. The average ground rent payable was £55 collected quarterly. The lease came to a finish in 2077. Given that there were 51 years outstanding we calculated the premium to the landlord to extend the lease to be within £31,400 and £36,200 plus professional charges.
Mrs H Vincent purchased a ground floor apartment in Timperley in September 1995. The dilemma was if we could estimate the price would be to prolong the lease by 90 years. Identical premises in Timperley with 100 year plus lease were valued about £285,000. The mid-range ground rent payable was £45 invoiced yearly. The lease ran out on 10 September 2097. Having 71 years remaining we calculated the compensation to the freeholder for the lease extension to be within £12,400 and £14,200 not including costs.