The market value of a leasehold property in Wollaton is impacted by how long the lease has left to run. If it is close to or fewer than eighty years you should anticipate difficulties on re-sale, so it is recommended to arrange for a lease extension ahead of buying. It is preferable to start the lease extension process when a lease still has 82 years unexpired so that formalities can be addressed in advance of the 80 year cut off point. Leasehold Reform legislation enables Wollaton qualifying lessees to acquire a lease extension of 90 years on top of the remaining length of the lease at a peppercorn rent (that is, rent free). The intention of the valuation is to determine the premium payable by the lessee to the freeholder for the purchase of the lease extension.
It is conventional wisdom that a residential leasehold with more than one hundred years remaining is worth roughly the equivalent as a freehold. Where an further ninety years added to any lease with more than 45 years unexpired, the premises will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Barnsley Building Society | |
| Coventry Building Society | |
| Skipton Building Society | |
| TSB |
Retaining our service will provide you better control over the value of your Wollaton leasehold, as your property will be more valuable and marketable in relation to the 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.
18 months ago Tyler, came critically near to the 80-year mark with the lease on his purpose- built apartment in Wollaton. Having purchased his flat 19 years ago, the lease term was of little significance. Thankfully, he realised he would imminently be paying way over the odds for a lease extension. Tyler was able to extend his lease just under the wire last March. Tyler and the freeholder in the end settled on a premium of £5,500 . If he failed to meet the deadline, the price would have become more costly by a minimum £1,150.
In 2014 we were contacted by Mr and Mrs. K Rodríguez who, having completed a newly refurbished flat in Wollaton in January 2007. The dilemma was if we could shed any light on how much (roughly) price could be for a 90 year lease extension. Comparative residencies in Wollaton with a long lease were worth £166,400. The mid-range amount of ground rent was £60 invoiced annually. The lease elapsed in 2080. Having 54 years outstanding we approximated the compensation to the landlord for the lease extension to be within £32,300 and £37,400 plus expenses.
Last Autumn we were approach by Dr Adam Lefebvre , who bought a ground floor apartment in Wollaton in August 2001. We are asked if we could approximate the price could be for a 90 year lease extension. Identical residencies in Wollaton with an extended lease were worth £227,800. The mid-range ground rent payable was £45 billed per annum. The lease came to a finish in 2091. Given that there were 65 years left we calculated the compensation to the freeholder for the lease extension to be within £13,300 and £15,400 exclusive of fees.