It’s an underpublicised certainty that a Whaley Bridge residential lease is a deteriorating asset. The lease value drops in proportion to its lease length. The extent of this is taken for granted in the early years due to the deflation being disguised by increases in the Whaley Bridge property prices.Once your lease gets to 85ish years, you need to start thinking about a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease dips below eighty years - otherwise a higher amount will be payable. Most leasehold owners in Whaley Bridge will be able to extend under the legislation; however a lawyer will be able to confirm if you are eligibility. In some situations you may not be entitled. There are also strict deadlines and procedures to be adhered to once the process is instigated and you will need to be guided by your conveyancing solicitor for the duration of the formalities.
Leasehold properties in Whaley Bridge with more than one hundred years left on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. 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 |
|---|---|
| Accord Mortgages | |
| Bank of Scotland | |
| Barnsley Building Society | |
| Godiva Mortgages | |
| Skipton Building Society |
Engaging our service gives you increased control over the value of your Whaley Bridge leasehold, as your property will be more valuable and marketable in respect of lease length should you wish to sell. The conveyancers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
Last Winter Ibrahim, came very close to the eighty-year mark with the lease on his garden flat in Whaley Bridge. In buying his property two decades ago, the lease term was of little bearing. Luckily, he became aware that he needed to take steps soon on a lease extension. Ibrahim was able to extend his lease just under the wire in May. Ibrahim and the landlord ultimately agreed on sum of £5,500 . If he had missed the deadline, the premium would have gone up by a minimum £975.
Ms E Moore moved into a garden apartment in Whaley Bridge in April 1995. We are asked if we could estimate the price could be to extend the lease by a further 90 years. Similar residencies in Whaley Bridge with an extended lease were worth £300,000. The average amount of ground rent was £50 billed monthly. The lease lapsed in 2102. Having 76 years unexpired we estimated the premium to the freeholder for the lease extension to be between £8,600 and £9,800 plus expenses.
In 2014 we were contacted by Mr and Mrs. T Taylor who, having bought a newly refurbished flat in Whaley Bridge in January 2006. We are asked if we could shed any light on how much (roughly) price would likely be for a ninety year extension to my lease. Similar properties in Whaley Bridge with 100 year plus lease were worth £257,800. The average amount of ground rent was £65 invoiced annually. The lease concluded in 2091. Having 65 years as a residual term we approximated the premium to the freeholder to extend the lease to be within £18,100 and £20,800 not including expenses.