When it comes to residential leasehold premises in Walderslade, you effectively rent it for a certain period of time. Modern flat leases are usually granted for 99 years or 125. Many leasehold owners become complacent as this seems like a long period of time, you should consider a lease extension sooner rather than later. Accepted thinking is that the shorter the lease is the cost of extending the lease gets disproportionately more expensive especially once there are less than eighty years remaining. Anyone in Walderslade with a lease drawing near to 81 years unexpired should seriously think of extending it sooner than later. When the lease term has under 80 years outstanding, under the current Act the landlord can calculate and charge a greater amount, assessed on a technical multiplication, known as “marriage value” which is due.
It is conventional wisdom that a residential leasehold with more than one hundred years remaining is worth approximately the equivalent as a freehold. Where an further ninety years added to all but the shortest lease, the residence will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Barclays plc | |
| Barnsley Building Society | |
| Birmingham Midshires | |
| Virgin | |
| Yorkshire Building Society |
The conveyancing solicitors that we work with procure Walderslade 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.
Arthur owned a conversion apartment in Walderslade on the market with a lease of a few days over 59 years remaining. Arthur informally spoke with his freeholder being a well known Manchester-based freehold company and enquired on a premium to extend the lease. The landlord was keen to grant an extension on non-statutory terms taking the lease to 125 years subject to a new rent to start with set at £200 per annum and increase every twenty five years thereafter. No ground rent would be payable on a lease extension were Arthur to exercise his statutory right. Arthur procured expert advice and was able to make an informed judgement and deal with the matter and readily saleable.
In 2014 we were phoned by Dr Tyler Hall who, having bought a studio flat in Walderslade in July 2002. We are asked if we could estimate the compensation to the landlord could be to extend the lease by a further 90 years. Identical properties in Walderslade with 100 year plus lease were in the region of £191,400. The mid-range ground rent payable was £55 billed quarterly. The lease expired in 2080. Taking into account 54 years outstanding we estimated the premium to the landlord for the lease extension to be within £34,200 and £39,600 exclusive of legals.
Last Spring we were e-mailed by Dr Joseph Ward , who moved into a ground floor apartment in Walderslade in November 2002. The dilemma was if we could estimate the price would be for a ninety year extension to my lease. Identical residencies in Walderslade with an extended lease were worth £295,000. The average ground rent payable was £45 collected per annum. The lease terminated on 20 August 2100. Taking into account 74 years remaining we approximated the premium to the freeholder to extend the lease to be between £9,500 and £11,000 exclusive of expenses.