When it comes to residential leasehold premises in Trafford, you are actually buying a right to live in a property for a set period of time. In recent years flat leases typically tend to be for 99 years or 125. Even though this may appear like a long period of time, you should think about a lease extension sooner rather than later. Accepted thinking is that the shorter the lease is the cost of extending the lease becomes disproportionately more expensive notably when there are less than eighty years left. Anyone in Trafford with a lease nearing 81 years remaining should seriously think of extending it without delay. Once a lease has under 80 years outstanding, under the current statute the landlord can calculate and demand a larger amount, based on a technical multiplication, strangely termed as “marriage value” which is due.
Leasehold premises in Trafford with more than one hundred years outstanding on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little upside in purchasing the freehold unless savings on ground rent and estate charges merit it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Coventry Building Society | |
| The Mortgage Works | |
| Virgin | |
| Yorkshire Building Society |
Regardless of whether you are a tenant or a freeholder in Trafford,the lease extension lawyers that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Trafford valuers.
In the wake of 9 months of lengthy correspondence with the freeholder of her leasehold apartment in Trafford, Zoe started the lease extension process as the 80 year deadline was rapidly approaching. The lease extension completed in May 2012. The landlord’s costs were negotiated to about 700 GBP.
In 2009 we were contacted by Dr Laura Phillips who, having moved into a one bedroom flat in Trafford in August 2012. We are asked if we could estimate the compensation to the landlord could be to extend the lease by ninety years. Comparative properties in Trafford with an extended lease were in the region of £275,000. The mid-range amount of ground rent was £55 billed every twelve months. The lease termination date was in 2102. Given that there were 76 years outstanding we calculated the compensation to the landlord to extend the lease to be within £9,500 and £11,000 exclusive of fees.
In 2011 we were phoned by Ms Aimee Pérez who, having was assigned a lease of a purpose-built apartment in Trafford in November 2009. The dilemma was if we could estimate the price could be for a ninety year extension to my lease. Comparative premises in Trafford with an extended lease were in the region of £176,200. The average amount of ground rent was £65 invoiced per annum. The lease end date was in 2082. Taking into account 56 years remaining we estimated the compensation to the freeholder for the lease extension to be within £29,500 and £34,000 not including professional charges.