When it comes to long leasehold property in Ramsey, you are actually buying a right to reside in a property for a prescribed time frame. In recent years flat leases are usually granted for 99 years or 125. Even though this may appear like a lengthy period of time, you should consider extending the lease sooner rather than later. Accepted thinking is that the shorter the number of years is the cost of extending the lease gets disproportionately greater particularly when there are fewer than 80 years remaining. Residents in Ramsey with a lease drawing near to 81 years left should seriously consider extending it as soon as possible. When the lease term has less than 80 years remaining, under the current legislation the freeholder is entitled to calculate and charge a larger premium, assessed on a technical multiplication, known as “marriage value” which is payable.
Leasehold premises in Ramsey with more than 100 years outstanding 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 premises. In such situations there is often little upside in purchasing the reversionary interest unless savings on ground rent and maintenance charges justify it.
| Lender | Requirement |
|---|---|
| National Westminster Bank | |
| Nationwide Building Society | |
| Santander | |
| The Mortgage Works | |
| Yorkshire Building Society |
Lease extensions in Ramsey can be a difficult process. We recommend you obtain guidance from a conveyancing solicitor and surveyor with experience in this area.
We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have a wealth of experience procuring Ramsey lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Trailing lengthy correspondence with the freeholder of her one bedroom flat in Ramsey, Emily commenced the lease extension process just as the lease was approaching the crucial 80-year mark. The transaction was finalised in April 2007. The freeholder’s fees were negotiated to about 450 GBP.
Last Summer we were called by Mrs Emily Edwards , who owned a one bedroom flat in Ramsey in May 2009. The question was if we could approximate the price could be to prolong the lease by a further 90 years. Identical premises in Ramsey with an extended lease were worth £280,000. The average ground rent payable was £45 collected annually. The lease finished in 2095. Considering the 69 years outstanding we calculated the premium to the landlord for the lease extension to be between £12,400 and £14,200 not including expenses.
In 2009 we were approached by Ms Madeleine Hill who, having owned a one bedroom flat in Ramsey in June 2011. We are asked if we could estimate the price would likely be for a 90 year extension to my lease. Similar flats in Ramsey with an extended lease were worth £216,000. The mid-range ground rent payable was £60 collected yearly. The lease ran out on 18 October 2084. Given that there were 58 years outstanding we calculated the premium to the freeholder to extend the lease to be within £28,500 and £33,000 exclusive of professional charges.