For those whose Pocklington flat is held on a long lease, the message is clear – if nothing is done, the property will eventually revert to the freeholder, leaving you empty-handed. The fewer the years remaining the less it is worth and the more expensive it will be to procure a lease extension.
It is conventional wisdom that a property with more than 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the residence will be worth the same as a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Birmingham Midshires | |
| Chelsea Building Society | |
| TSB | |
| Yorkshire Building Society |
Irrespective of whether you are a tenant or a freeholder in Pocklington,the lease extension solicitors that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Pocklington valuers.
14 months ago Archie, came dangerously near to the eighty-year mark with the lease on his first floor apartment in Pocklington. In buying his property two decades ago, the lease term was of little relevance. Luckily, he realised he needed to take steps soon on Extending the lease. Archie was able to extend his lease just ahead of time last July. Archie and the freeholder via the management company in the end agreed on a premium of £6,000 . If the lease had fallen to less than 80 years, the figure would have escalated by at least £1,000.
In 2013 we were phoned by Mr and Mrs. V Scott who, having bought a purpose-built apartment in Pocklington in April 2011. The question was if we could approximate the premium could be for a ninety year extension to my lease. Comparable homes in Pocklington with 100 year plus lease were worth £174,200. The average ground rent payable was £55 billed monthly. The lease ran out in 2077. Considering the 51 years unexpired we estimated the compensation to the landlord to extend the lease to be between £31,400 and £36,200 not including legals.
In 2010 we were contacted by Mr and Mrs. S André who, having was assigned a lease of a first floor apartment in Pocklington in March 2004. The dilemma was if we could estimate the premium would be for a 90 year lease extension. Similar residencies in Pocklington with an extended lease were worth £285,000. The mid-range ground rent payable was £45 invoiced monthly. The lease terminated in 2097. Taking into account 71 years left we calculated the compensation to the landlord to extend the lease to be between £12,400 and £14,200 not including fees.