There is no doubt about it a leasehold flat or house in Stow on the Wold is a wasting asset as a result of the shortening lease. Where the residual term has, over 125 years remaining then this decrease may be negligible that being said there will become a point in time when a lease has fewer than 80 years remaining as part of the premium you will incur is what is termed as a marriage value. This could be significant. It is the main reason why you should consider extending without delay. Most flat owners in Stow on the Wold will qualify for this right; nevertheless a conveyancing solicitor can confirm whether you qualify to extend your lease. In certain situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.
Leasehold premises in Stow on the Wold with more than one hundred years remaining on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such circumstances there is often little to be gained by buying the reversionary interest unless savings on ground rent and maintenance charges merit it.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | |
| Coventry Building Society | |
| Halifax | |
| Nationwide Building Society | |
| Santander |
Regardless of whether you are a tenant or a landlord in Stow on the Wold,the lease extension experts that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Stow on the Wold valuers.
Twenty four months ago Michael, came critically close to the 80-year mark with the lease on his one bedroom flat in Stow on the Wold. In buying his flat two decades ago, the lease term was of no relevance. Luckily, he recognised he needed to take action soon on Extending the lease. Michael was able to extend his lease just under the wire last July. Michael and the freeholder via the management company subsequently settled on the final figure of £6,000 . If he failed to meet the deadline, the sum would have escalated by at least £1,025.
Last Winter we were approach by Mr and Mrs. P Norbert , who moved into a one bedroom apartment in Stow on the Wold in January 2011. The dilemma was if we could approximate the compensation to the landlord would be to extend the lease by 90 years. Similar premises in Stow on the Wold with 100 year plus lease were worth £208,200. The average amount of ground rent was £65 billed monthly. The lease finished on 12 August 2087. Considering the 61 years remaining we approximated the compensation to the freeholder to extend the lease to be within £20,000 and £23,000 not including expenses.
Ms Harriet François took over the lease of a one bedroom apartment in Stow on the Wold in January 2000. The question was if we could estimate the compensation to the landlord would likely be to prolong the lease by a further 90 years. Identical homes in Stow on the Wold with a long lease were valued about £260,000. The mid-range amount of ground rent was £50 billed per annum. The lease ran out on 4 May 2098. Considering the 72 years unexpired we calculated the compensation to the landlord to extend the lease to be between £9,500 and £11,000 exclusive of costs.