Mancot residential property owned on a long lease is a wasting asset because a leaseholder merely owns the property for a set term.
Leasehold premises in Mancot with over one hundred years left on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such circumstances there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and estate charges merit it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Barnsley Building Society | |
| Halifax | |
| National Westminster Bank | |
| Royal Bank of Scotland |
Retaining our service will provide you enhanced control over the value of your Mancot leasehold, as your property will be more valuable and marketable in relation to the lease length should you wish to sell. The lawyers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
Two years ago Riley, came critically close to the 80-year threshold with the lease on his garden apartment in Mancot. In buying his flat 19 years previously, the length of the lease was of no interest. by good luck, he noticed he would imminently be paying way over the odds for Extending the lease. Riley extended the lease just in the nick of time last March. Riley and the freeholder subsequently settled on a premium of £5,500 . If he failed to meet the deadline, the premium would have increased by at least £850.
Dr T Cooper owned a studio flat in Mancot in November 2001. We are asked if we could approximate the compensation to the landlord could be to prolong the lease by 90 years. Similar properties in Mancot with 100 year plus lease were valued about £216,000. The average amount of ground rent was £60 collected annually. The lease ended in 2084. Considering the 58 years left we estimated the premium to the landlord to extend the lease to be within £28,500 and £33,000 plus fees.
In 2011 we were contacted by Mrs Ashleigh Brown who, having took over the lease of a newly refurbished flat in Mancot in October 2011. The dilemma was if we could approximate the price would likely be for a 90 year extension to my lease. Comparable properties in Mancot with 100 year plus lease were worth £205,000. The average amount of ground rent was £50 invoiced monthly. The lease elapsed on 23 March 2104. Taking into account 78 years left we calculated the premium to the freeholder to extend the lease to be between £7,600 and £8,800 plus fees.