For those whose Henbury flat is held on a long lease, the message is clear – if you ignore the situation, your property will ultimately revert to your landlord, leaving you empty-handed. The shorter the lease the less it is worth and the more expensive it will be to extend the lease.
It is generally considered that a property with in excess of 100 years unexpired lease term is worth approximately the same as a freehold. Where an further ninety years added to any lease with more than 35 years left, the premises will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Chelsea Building Society | |
| National Westminster Bank | |
| Skipton Building Society | |
| Royal Bank of Scotland | |
| Virgin |
Regardless of whether you are a tenant or a landlord in Henbury,the lease extension solicitors that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Henbury valuers.
Subsequent to lengthy correspondence with the freeholder of her two bedroom apartment in Henbury, Jessica commenced the lease extension process just as her lease was coming close to the crucial eighty-year mark. The transaction was concluded in June 2015. The freeholder’s fees were kept to an absolute minimum.
Last August we were called by Mrs Millie Allen , who moved into a one bedroom flat in Henbury in February 2007. The dilemma was if we could approximate the compensation to the landlord could be for a ninety year lease extension. Comparative properties in Henbury with 100 year plus lease were worth £280,000. The mid-range ground rent payable was £45 invoiced every twelve months. The lease came to a finish on 12 September 2097. Given that there were 71 years as a residual term we estimated the premium to the freeholder for the lease extension to be within £12,400 and £14,200 exclusive of fees.
Last Winter we were phoned by Dr O Sharif , who was assigned a lease of a studio flat in Henbury in November 2008. We are asked if we could approximate the compensation to the landlord could be for a ninety year extension to my lease. Identical residencies in Henbury with an extended lease were in the region of £225,800. The mid-range ground rent payable was £60 invoiced every twelve months. The lease ended on 22 July 2086. Taking into account 60 years outstanding we estimated the premium to the landlord to extend the lease to be between £25,700 and £29,600 not including expenses.