Stow on the Wold leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of your lease becomes more expensive. Legislation has been in place for sometime now which entitles qualifying Stow on the Wold residential leaseholders to extend the terms of long leases. If you are a leasehold owner in Stow on the Wold you must check if your lease has between 70 and 90 years remaining. There are good reasons why a Stow on the Wold leaseholder with a lease having around 80 years remaining should take steps to make sure that a lease extension is actioned without delay
Leasehold properties in Stow on the Wold with more than 100 years remaining on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little upside in buying the freehold unless savings on ground rent and maintenance charges merit it.
| Lender | Requirement |
|---|---|
| Coventry Building Society | |
| Godiva Mortgages | |
| Santander | |
| Virgin | |
| Yorkshire Building Society |
Lease extensions in Stow on the Wold can be a difficult process. We recommend you secure professional help from a lawyer and valuer well versed in the legislation and lease extension process.
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 Stow on the Wold lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Blake was the the leasehold owner of a high value apartment in Stow on the Wold on the market with a lease of fraction over fifty eight years unexpired. Blake on an informal basis spoke with his landlord a well known London-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to grant an extension taking the lease to 125 years on the basis of a new rent at the outset set at £100 per annum and doubled every twenty five years thereafter. Ordinarily, ground rent would not be due on a lease extension were Blake to exercise his statutory right. Blake obtained expert advice and secured satisfactory deal without going to tribunal and sell the flat.
Mr Callum Dupont took over the lease of a basement apartment in Stow on the Wold in April 2007. We are asked if we could estimate the premium could be for a 90 year extension to my lease. Similar properties in Stow on the Wold with 100 year plus lease were worth £260,000. The average ground rent payable was £50 invoiced per annum. The lease expired in 2098. Taking into account 72 years remaining we estimated the premium to the freeholder to extend the lease to be within £9,500 and £11,000 exclusive of legals.
Last Summer we were approach by Mr and Mrs. P Thompson , who acquired a basement flat in Stow on the Wold in September 2009. We are asked if we could shed any light on how much (approximately) compensation to the landlord would be for a 90 year extension to my lease. Identical properties in Stow on the Wold with an extended lease were in the region of £261,600. The mid-range amount of ground rent was £60 billed quarterly. The lease ended on 26 June 2078. Considering the 52 years remaining we calculated the premium to the freeholder for the lease extension to be between £39,000 and £45,000 plus legals.