Owning a flat usually means owning a lease of the property, this is a ‘time-limited’ interest becoming shorter every day. The lease will normally be granted for a set period of time , ordinarily 99 or 125 years, although we have witnessed longer and shorter terms in Arlesey. Inevitably, the term of lease remaining reduces over time. This may pass by relatively unnoticed when the residence needs to be sold or re-mortgaged. The shorter the lease the less it is worth and the more it will cost to extend the lease. Eligible leaseholders in Arlesey have the legal entitlement to extend the lease for an additional ninety years under legislation. Do give careful deliberation before putting off your Arlesey lease extension. Putting off the cost now simply increases the price you will ultimately have to pay for a lease extension
It is generally considered that a property with in excess of one hundred years remaining is worth roughly the equivalent as a freehold. Where an additional 90 years added to all but the shortest lease, the property will be equivalent in value to a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Birmingham Midshires | |
| Coventry Building Society | |
| Leeds Building Society | |
| Royal Bank of Scotland |
Retaining our service gives you enhanced control over the value of your Arlesey leasehold, as your property will be more valuable and marketable in relation to the lease length should you decide to sell. The conveyancers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
After lengthy discussions with the freeholder of her purpose-built apartment in Arlesey, Niamh initiated the lease extension process as the 80 year deadline was fast approaching. The legal work completed in March 2013. The landlord’s costs were negotiated to less than 650 GBP.
Last July we were called by Mrs W Bennett , who purchased a studio apartment in Arlesey in May 1999. The dilemma was if we could shed any light on how much (roughly) premium would likely be for a 90 year lease extension. Comparative properties in Arlesey with 100 year plus lease were worth £265,000. The mid-range ground rent payable was £50 invoiced yearly. The lease expiry date was on 26 April 2099. Considering the 73 years left we estimated the compensation to the landlord to extend the lease to be between £9,500 and £11,000 exclusive of expenses.
Last Summer we were e-mailed by Mrs S Carter , who owned a studio apartment in Arlesey in January 1999. We are asked if we could estimate the premium could be to prolong the lease by 90 years. Comparative properties in Arlesey with a long lease were in the region of £264,000. The mid-range amount of ground rent was £60 invoiced per annum. The lease terminated in 2079. Having 53 years outstanding we approximated the compensation to the freeholder to extend the lease to be within £37,100 and £42,800 plus fees.