It’s a harsh certainty that a Whimple residential lease is a deteriorating asset. The lease value drops in proportion to its lease length. The extent of this is taken for granted in the first few years due to the loss of value being disguised by increases in the Whimple property market.Once your lease nears 85ish years, you need to start considering a lease extension. If the number of years remaining dips below 80 years, you will end up paying half of the property's 'marriage value' on top of the usual cost of the lease extension to the landlord. Marriage value is the amount of additional value that a lease extension will add the property Most flat owners in Whimple will be able to extend under the legislation; however a conveyancer will be able to confirm whether you qualify for an extension. In some cases you may not be entitled. There are also strict timeframes and procedures to follow once the process has commenced and you will need to be guided by your conveyancer for the duration of the formalities.
It is generally accepted that a property with over one hundred years remaining is worth roughly the same as a freehold. Where an additional ninety years added to any lease with more than 35 years left, the residence will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Birmingham Midshires | |
| Coventry Building Society | |
| Nationwide Building Society | |
| Santander |
Retaining our service gives you enhanced control over the value of your Whimple leasehold, as your property will be more valuable and saleable in respect of lease length should you decide to sell. The lawyers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
Jackson owned a conversion apartment in Whimple on the market with a lease of fraction over sixty years remaining. Jackson informally approached his freeholder a well known Bristol-based freehold company for a lease extension. The landlord was keen to grant an extension on non-statutory terms taking the lease to 125 years on the basis of a rise in the rent to £125 annually. Ordinarily, ground rent would not be due on a lease extension were Jackson to exercise his statutory right. Jackson procured expert legal guidance and was able to make an informed judgement and deal with the matter and ending up with a market value flat.
Last Christmas we were e-mailed by Mr Zachary Petit , who completed a ground floor flat in Whimple in January 2004. We are asked if we could approximate the price would likely be to prolong the lease by ninety years. Identical premises in Whimple with a long lease were worth £208,600. The mid-range ground rent payable was £60 collected quarterly. The lease lapsed on 28 May 2083. Given that there were 57 years left we approximated the premium to the freeholder to extend the lease to be between £30,400 and £35,200 not including expenses.
In 2010 we were approached by Dr D Roux who, having acquired a studio apartment in Whimple in April 2012. The dilemma was if we could approximate the premium would be for a 90 year extension to my lease. Identical properties in Whimple with a long lease were worth £200,000. The mid-range ground rent payable was £50 collected every twelve months. The lease finished in 2103. Considering the 77 years left we estimated the premium to the freeholder for the lease extension to be within £8,600 and £9,800 plus costs.