The only way is down when it comes to Stotfold lease terms. Stotfold flats that have a residual term less than than eighty years will drop in value at a rapid rate, and the cost to extend your lease will rise.
It is generally accepted that a residential leasehold with more than one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the residence will be equivalent in value to a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Chelsea Building Society | |
| Coventry Building Society | |
| Godiva Mortgages | |
| Leeds Building Society |
The conveyancers that we work with handle Stotfold 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.
Leo owned a conversion apartment in Stotfold on the market with a lease of a little over fifty eight years left. Leo informally approached his freeholder a well known Manchester-based freehold company for a lease extension. The landlord indicated a willingness to grant an extension taking the lease to 125 years on the basis of a new rent to start with set at £100 per annum and increase every twenty five years thereafter. No ground rent would be payable on a lease extension were Leo to invoke his statutory right. Leo procured expert advice and secured satisfactory resolution informally and sell the flat.
Last September we were approach by Mr and Mrs. J Green , who took over the lease of a garden flat in Stotfold in March 2000. The question was if we could approximate the premium could be for a 90 year lease extension. Similar homes in Stotfold with an extended lease were worth £181,600. The average amount of ground rent was £55 invoiced yearly. The lease elapsed on 14 November 2078. Considering the 52 years unexpired we calculated the compensation to the landlord to extend the lease to be between £30,400 and £35,200 exclusive of professional charges.
In 2010 we were phoned by Mrs L Bennett who, having moved into a recently refurbished flat in Stotfold in January 2009. We are asked if we could approximate the price would be to prolong the lease by ninety years. Comparative properties in Stotfold with 100 year plus lease were valued around £290,000. The mid-range ground rent payable was £45 billed per annum. The lease termination date was on 22 March 2098. Having 72 years outstanding we estimated the premium to the landlord to extend the lease to be within £11,400 and £13,200 exclusive of expenses.