Owning a apartment usually means owning a lease of the property, this is a ‘time-limited’ interest becoming shorter every day. The lease will usually be granted for a prescribed period of time , ordinarily 99 or 125 years, although we have come across longer and shorter terms in Welwyn Garden City. Clearly, the length of lease remaining shortens over time. This may pass by relatively unnoticed when the property needs to be sold or re-mortgaged. The fewer the years remaining the lower the value of the property and the more it will cost to extend the lease. Qualifying leaseholders in Welwyn Garden City have the right to extend the lease for a further ninety years under statute. You should give due attention before delaying your Welwyn Garden City lease extension. Putting off the cost now only increases the price you will ultimately incur to extend your lease
It is generally accepted that a residential leasehold with in excess of 100 years unexpired lease term is worth roughly the same as a freehold. Where an further ninety years added to all but the shortest lease, the premises will be equivalent in value to a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Godiva Mortgages | |
| Leeds Building Society | |
| Nationwide Building Society | |
| Santander | |
| Yorkshire Building Society |
Engaging our service will provide you enhanced control over the value of your Welwyn Garden City leasehold, as your property will be more valuable and marketable in terms of lease length should you wish to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
In 2014 Sam, started to get near to the 80-year mark with the lease on his leasehold apartment in Welwyn Garden City. In buying his flat 18 years ago, the unexpired term was of minimal significance. by good luck, he realised he needed to take steps soon on a lease extension. Sam extended the lease just ahead of time last April. Sam and the freeholder via the management company eventually agreed on the final figure of £5,000 . If he failed to meet the deadline, the premium would have gone up by a minimum £925.
In 2010 we were approached by Mr and Mrs. V Howard who, having took over the lease of a garden apartment in Welwyn Garden City in March 1996. We are asked if we could estimate the premium would likely be for a ninety year extension to my lease. Comparative flats in Welwyn Garden City with a long lease were in the region of £255,000. The mid-range amount of ground rent was £50 invoiced every twelve months. The lease concluded on 10 June 2097. Considering the 71 years outstanding we calculated the compensation to the freeholder to extend the lease to be between £9,500 and £11,000 plus costs.
Last Autumn we were called by Dr Finn Brown , who purchased a garden flat in Welwyn Garden City in January 2000. We are asked if we could estimate the price would likely be to extend the lease by a further 90 years. Identical premises in Welwyn Garden City with an extended lease were valued about £254,200. The average amount of ground rent was £60 invoiced annually. The lease terminated in 2077. Considering the 51 years unexpired we estimated the premium to the freeholder for the lease extension to be within £43,700 and £50,600 not including expenses.