Chances are that where you own a flat in Watlington you actually own a long leasehold interest over your property
Leasehold properties in Watlington with in excess of 100 years unexpired on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such situations there is often little to be gained by purchasing the freehold unless savings on ground rent and service charges warrant it.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | |
| Coventry Building Society | |
| Leeds Building Society | |
| Nationwide Building Society | |
| Skipton Building Society |
Using our service will provide you enhanced control over the value of your Watlington leasehold, as your property will be more valuable and saleable in relation to the lease length should you decide to sell. The conveyancers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
Blake owned a 2 bedroom flat in Watlington on the market with a lease of a few days over 59 years remaining. Blake on an informal basis contacted his freeholder a well known London-based freehold company for a lease extension. The freeholder was keen to grant an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent at the outset set at £200 per annum and increase every twenty five years thereafter. Ordinarily, ground rent would not be due on a lease extension were Blake to invoke his statutory right. Blake procured expert advice and was able to make an informed judgement and handle with the matter and sell the property.
Last November we were approach by Dr Leo Wood , who moved into a first floor flat in Watlington in August 2007. We are asked if we could estimate the compensation to the landlord would be for a ninety year extension to my lease. Comparable flats in Watlington with a long lease were valued about £198,800. The mid-range ground rent payable was £55 collected every twelve months. The lease lapsed in 2081. Given that there were 55 years outstanding we approximated the compensation to the freeholder for the lease extension to be within £33,300 and £38,400 exclusive of expenses.
In 2009 we were e-mailed by Mr and Mrs. S Michel who, having purchased a garden apartment in Watlington in February 1997. We are asked if we could approximate the compensation to the landlord would likely be for a 90 year extension to my lease. Comparable residencies in Watlington with an extended lease were worth £300,000. The mid-range amount of ground rent was £50 billed monthly. The lease expired on 12 August 2101. Taking into account 75 years outstanding we calculated the compensation to the freeholder to extend the lease to be within £8,600 and £9,800 not including fees.