Virginia Water residential property owned on a long lease is a depreciating asset as the leaseholder merely owns the property for a set term.
It is conventional wisdom that a property with more than 100 years unexpired lease term is worth roughly the same as a freehold. Where an additional ninety years added to any lease with more than 45 years left, the residence will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Bank of Scotland | |
| Chelsea Building Society | |
| Nationwide Building Society | |
| Virgin |
The lawyers that we work with undertake Virginia Water 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.
14 months ago John, came perilously near to the eighty-year threshold with the lease on his studio flat in Virginia Water. In buying his property twenty years previously, the length of the lease was of little importance. Fortunately, he realised he would imminently be paying an inflated amount for a lease extension. John arranged for a lease extension just under the wire last January. John and the freeholder via the managing agents in the end agreed on an amount of £5,500 . If the lease had dipped to less than 80 years, the amount would have become more exhorbitant by a minimum £950.
Last Spring we were contacted by Mr P Campbell , who purchased a first floor apartment in Virginia Water in January 1999. The question was if we could approximate the compensation to the landlord would be to extend the lease by 90 years. Identical residencies in Virginia Water with a long lease were in the region of £235,200. The mid-range amount of ground rent was £45 collected every twelve months. The lease lapsed in 2092. Given that there were 66 years unexpired we approximated the premium to the landlord for the lease extension to be between £12,400 and £14,200 plus costs.
Mr and Mrs. W Wilson completed a garden apartment in Virginia Water in March 2008. The question was if we could estimate the price would be to prolong the lease by an additional years. Identical premises in Virginia Water with a long lease were valued around £280,000. The mid-range ground rent payable was £55 billed annually. The lease termination date was on 21 June 2103. Having 77 years outstanding we calculated the premium to the freeholder to extend the lease to be between £13,300 and £15,400 exclusive of costs.