Unfortunately that a Huyton residential lease is a wasting asset. The lease value drops in proportion to its lease length. The extent of this is taken for granted in the first few years due to the deflation being disguised by increases in the Huyton property prices.Where your lease has approximately 90 years left, you need to start thinking about a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease slips lower than 80 years - otherwise a higher amount will be payable. Most leasehold owners in Huyton will be able to extend under the legislation; however a lawyer should be able to confirm whether you are eligibility. In some cases you may not be entitled. There are also strict timeframes and procedures to follow once the process has commenced and you will need to be guided by your conveyancing solicitor for the duration of the process.
Leasehold premises in Huyton with more than one hundred years remaining on the lease are often referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such circumstances there is often little upside in purchasing the reversionary interest unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Regardless of whether you are a tenant or a landlord in Huyton,the lease extension experts that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Huyton valuers.
Omar was the the leasehold proprietor of a 2 bedroom flat in Huyton on the market with a lease of just over sixty years unexpired. Omar informally contacted his freeholder a well known Manchester-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to extend the lease to 125 years on the basis of an increased rent to £200 yearly. Ordinarily, ground rent would not be payable on a lease extension were Omar to exercise his statutory right. Omar procured expert advice and was able to make an informed decision and deal with the matter and ending up with a market value flat.
In 2010 we were called by Mr and Mrs. H Lefèvre who, having acquired a studio flat in Huyton in May 2005. We are asked if we could shed any light on how much (approximately) premium would likely be to prolong the lease by a further 90 years. Comparative residencies in Huyton with an extended lease were valued about £206,200. The mid-range ground rent payable was £60 collected monthly. The lease elapsed on 24 July 2081. Given that there were 56 years remaining we estimated the premium to the landlord to extend the lease to be within £32,300 and £37,400 not including expenses.
Ms Mia Walker completed a studio flat in Huyton in September 2007. The question was if we could shed any light on how much (approximately) compensation to the landlord could be to extend the lease by a further 90 years. Comparable homes in Huyton with a long lease were worth £300,000. The mid-range amount of ground rent was £50 collected per annum. The lease elapsed on 4 June 2101. Given that there were 76 years remaining we approximated the premium to the freeholder to extend the lease to be between £8,600 and £9,800 not including legals.