For those whose Porthleven home is held on a long lease, our message is clear – if no remedial action is taken, the property will eventually revert to your landlord, leaving you empty-handed. The shorter the lease the lower the value of the property and the more it will cost to obtain a lease extension.
Leasehold premises in Porthleven with more than one hundred years outstanding on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such situations there is often little upside in purchasing the reversionary interest unless savings on ground rent and service charges warrant it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Leeds Building Society | |
| National Westminster Bank | |
| Nationwide Building Society | |
| The Mortgage Works |
The lawyers that we work with undertake Porthleven lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancing solicitor we work with provide it.
Kian was the the leasehold proprietor of a high value apartment in Porthleven being sold with a lease of a few days over sixty years remaining. Kian on an informal basis spoke with his freeholder being a well known London-based freehold company for a lease extension. The landlord indicated a willingness to extend the lease to 125 years on the basis of a new rent initially set at £200 per annum and doubled every twenty five years thereafter. No ground rent would be payable on a lease extension were Kian to exercise his statutory right. Kian procured expert advice and was able to make an informed decision and handle with the matter and readily saleable.
Mr and Mrs. E Lefebvre owned a garden flat in Porthleven in April 2007. We are asked if we could shed any light on how much (approximately) compensation to the landlord would be for a 90 year lease extension. Comparative residencies in Porthleven with 100 year plus lease were valued about £280,000. The average amount of ground rent was £55 invoiced quarterly. The lease end date was in 2104. Taking into account 78 years outstanding we calculated the compensation to the landlord to extend the lease to be between £13,300 and £15,400 plus costs.
Mr U White owned a basement flat in Porthleven in October 2001. The question was if we could estimate the price would be for a 90 year extension to my lease. Similar premises in Porthleven with 100 year plus lease were in the region of £186,000. The average amount of ground rent was £65 billed monthly. The lease elapsed on 11 March 2084. Given that there were 58 years outstanding we calculated the premium to the landlord for the lease extension to be between £24,700 and £28,600 exclusive of expenses.