With a long leasehold premises in Welton, you are actually purchasing a right to reside in a property for a set period of time. Modern flat leases typically tend to be for 99 years or 125. Many leasehold owners become complacent as this seems like a long period of time, you may think about a lease extension sooner as opposed to later. Accepted thinking is that the shorter the number of years is the cost of extending the lease increases markedly particularly when there are fewer than eighty years remaining. Anyone in Welton with a lease drawing near to 81 years left should seriously think of extending it sooner as opposed to later. Once a lease has below 80 years outstanding, under the relevant statute the landlord can calculate and levy a larger amount, based on a technical multiplication, strangely termed as “marriage value” which is payable.
It is conventional wisdom that a property with in excess of 100 years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional 90 years added to any lease with more than 35 years left, the residence will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Barclays plc | |
| Halifax | |
| National Westminster Bank | |
| Yorkshire Building Society |
Lease extensions in Welton can be a difficult process. We recommend you get guidance from a lawyer and surveyor well versed in the legislation and lease extension process.
We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have in-depth market knowledge procuring Welton lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Alexander owned a conversion apartment in Welton on the market with a lease of just over 72 years outstanding. Alexander informally contacted his landlord being a well known Bristol-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 initially set at £150 per annum and increase every 25 years thereafter. Ordinarily, ground rent would not be due on a lease extension were Alexander to exercise his statutory right. Alexander obtained expert advice and was able to make an informed judgement and handle with the matter and ending up with a market value flat.
Last Autumn we were called by Dr V Mason , who owned a one bedroom flat in Welton in November 2003. The dilemma was if we could shed any light on how much (approximately) premium could be for a ninety year extension to my lease. Similar properties in Welton with 100 year plus lease were in the region of £183,600. The average amount of ground rent was £65 collected quarterly. The lease terminated in 2083. Having 57 years left we approximated the compensation to the freeholder for the lease extension to be between £28,500 and £33,000 exclusive of legals.
In 2009 we were called by Ms Phoebe Hernández who, having moved into a garden apartment in Welton in June 1998. We are asked if we could estimate the price could be to extend the lease by a further 90 years. Comparable residencies in Welton with an extended lease were valued around £245,000. The average ground rent payable was £45 billed yearly. The lease finished on 16 August 2094. Given that there were 68 years outstanding we estimated the premium to the landlord to extend the lease to be within £9,500 and £11,000 exclusive of legals.