Yarm residential property held on a long lease is a wasting asset as the leaseholder only owns the property for a set term.
Leasehold residencies in Yarm with in excess of 100 years left on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such situations there is often little upside in buying the reversionary interest unless savings on ground rent and maintenance charges warrant it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Barnsley Building Society | |
| Godiva Mortgages | |
| National Westminster Bank | |
| Virgin |
Lease extensions in Yarm can be a difficult process. We recommend you get professional help from a lawyer and surveyor with experience in lease extensions.
We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have a wealth of experience procuring Yarm lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
In the wake of 6 months of unsuccessful correspondence with the freeholder of her first floor flat in Yarm, Lauren commenced the lease extension process just as the lease was coming close to the crucial eighty-year mark. The lease extension completed in October 2008. The freeholder’s charges were kept to an absolute minimum.
In 2011 we were contacted by Mr K Ali who, having was assigned a lease of a ground floor apartment in Yarm in January 2001. We are asked if we could estimate the price would be for a 90 year lease extension. Comparative properties in Yarm with an extended lease were worth £208,600. The mid-range amount of ground rent was £60 billed per annum. The lease finished in 2083. Considering the 57 years left we approximated the compensation to the freeholder for the lease extension to be between £30,400 and £35,200 plus professional charges.
In 2014 we were approached by Mr and Mrs. W Gray who, having took over the lease of a ground floor apartment in Yarm in October 2007. The question was if we could shed any light on how much (roughly) premium could be for a ninety year lease extension. Comparable homes in Yarm with a long lease were worth £200,000. The average ground rent payable was £50 collected yearly. The lease terminated in 2103. Considering the 77 years left we calculated the premium to the freeholder to extend the lease to be between £8,600 and £9,800 not including legals.