The closer a domestic lease in Wimborne gets to zero years unexpired, the the greater the reduction in the value of the property. Where the residual term has, in excess of 99 years to run then this decrease may be of little impact however there will become a stage when a lease has less than 80 years unexpired as part of the premium you will incur is what is termed as a marriage value. This could increase markedly the cost. It is the main logic behind why you should extend the lease without delay. Most flat owners in Wimborne will qualify for this right; nevertheless a lawyer should be able to confirm if you are eligible to extend your lease. In limited situations you may not qualify, the most common reason being that you have owned the property for under two years.
Leasehold premises in Wimborne with over 100 years unexpired on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such circumstances there is often little upside in buying the reversionary interest unless savings on ground rent and estate charges merit it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Bank of Scotland | |
| Chelsea Building Society | |
| National Westminster Bank | |
| Yorkshire Building Society |
Irrespective of whether you are a tenant or a landlord in Wimborne,the lease extension solicitors that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Wimborne valuers.
In the wake of 9 months of lengthy correspondence with the landlord of her studio flat in Wimborne, Catherine commenced the lease extension process as the eighty year deadline was fast approaching. The lease extension was finalised in March 2009. The freeholder’s fees were kept to an absolute minimum.
In 2014 we were e-mailed by Mr and Mrs. R Peterson who, having took over the lease of a studio flat in Wimborne in April 2012. We are asked if we could estimate the premium would likely be for a 90 year lease extension. Similar flats in Wimborne with an extended lease were worth £198,800. The average amount of ground rent was £55 invoiced yearly. The lease expired on 5 March 2081. Having 55 years outstanding we approximated the premium to the landlord for the lease extension to be within £33,300 and £38,400 not including legals.
In 2010 we were approached by Ms B Moore who, having bought a one bedroom apartment in Wimborne in January 2003. The dilemma was if we could shed any light on how much (roughly) price would likely be to prolong the lease by an additional years. Identical premises in Wimborne with 100 year plus lease were in the region of £295,000. The mid-range amount of ground rent was £50 collected monthly. The lease terminated on 9 November 2101. Given that there were 75 years left we approximated the compensation to the landlord to extend the lease to be within £8,600 and £9,800 exclusive of expenses.