Wool leases on domestic deteriorating in value. if your lease has approximately 90 years unexpired, you should start considering the need for a lease extension. If lease term is less than eighty years, you will then be required to pay half of the property's 'marriage value' in addition to the usual cost of the lease extension to the landlord. Marriage value is the amount of extra value that a lease extension will add to the property. Flat owners in Wool will usually be legally entitled to a lease extension; however It would be wise to check with a conveyancing solicitor to confirm your eligibility. In some situations you may not qualify. There are also strict deadlines and steps to follow once the process has started so it’s sensible to be guided by a conveyancer during the process.
It is generally considered that a residential leasehold with over 100 years unexpired lease term is worth approximately the equivalent as a freehold. Where an further 90 years added to any lease with more than 45 years left, the premises will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| National Westminster Bank | |
| Nationwide Building Society | |
| Skipton Building Society | |
| The Mortgage Works | |
| Royal Bank of Scotland |
Engaging our service gives you enhanced control over the value of your Wool leasehold, as your property will be more valuable and marketable in respect of lease length should you want to sell. The conveyancing solicitors that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
Following protracted discussions with the landlord of her basement flat in Wool, Isabelle started the lease extension process just as her lease was coming close to the crucial 80-year threshold. The transaction was concluded in June 2011. The freeholder’s charges were restricted to slightly above 500 pounds.
Last June we were phoned by Ms Rosie Nguyen , who completed a basement flat in Wool in November 2001. We are asked if we could approximate the compensation to the landlord could be to extend the lease by an additional years. Comparable flats in Wool with 100 year plus lease were worth £275,000. The average amount of ground rent was £55 collected quarterly. The lease lapsed on 8 February 2102. Having 76 years remaining we estimated the compensation to the freeholder for the lease extension to be between £9,500 and £11,000 exclusive of fees.
Mr and Mrs. P Moore acquired a purpose-built apartment in Wool in July 2008. We are asked if we could estimate the compensation to the landlord could be to prolong the lease by an additional years. Comparable premises in Wool with a long lease were worth £176,200. The mid-range amount of ground rent was £65 billed quarterly. The lease ran out on 9 January 2082. Taking into account 56 years left we estimated the premium to the freeholder for the lease extension to be between £29,500 and £34,000 exclusive of legals.