Owning a apartment usually means owning a lease of the property, which has a finite term of years. your lease will normally be granted for a set period of time , ordinarily 99 or 125 years, although we have come across longer and shorter terms in Ferryhill. Inevitably, the length of lease left reduces over time. This may slip by relatively unnoticed when the property needs to be sold or refinanced. The shorter the lease the lower the value of the property and the more expensive it will be to procure a lease extension. Qualifying long lease owners in Ferryhill have the right to extend the lease for a further 90 years in accordance with the 1993 Leasehold Reform Act. Please give careful deliberation before putting off your Ferryhill lease extension. Putting off the cost now simply increases the price you will eventually have to pay to extend your lease
Leasehold residencies in Ferryhill with over one hundred years remaining on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little upside in buying the reversionary interest unless savings on ground rent and service charges justify it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Barnsley Building Society | |
| Coventry Building Society | |
| Godiva Mortgages | |
| Nationwide Building Society |
The lawyers that we work with procure Ferryhill 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 lawyer we work with provide it.
Lewis was the the leasehold proprietor of a conversion apartment in Ferryhill on the market with a lease of a few days over sixty years left. Lewis informally contacted his landlord being a well known Manchester-based freehold company for a lease extension. The landlord was prepared to grant an extension on non-statutory terms taking the lease to 125 years on the basis of a rise in the rent to £200 yearly. No ground rent would be due on a lease extension were Lewis to invoke his statutory right. Lewis obtained expert advice and secured satisfactory deal without resorting to tribunal and ending up with a market value flat.
Last Autumn we were called by Mr and Mrs. P Davies , who was assigned a lease of a studio apartment in Ferryhill in August 2010. We are asked if we could approximate the compensation to the landlord would likely be to prolong the lease by a further 90 years. Comparable homes in Ferryhill with an extended lease were valued around £225,800. The mid-range amount of ground rent was £60 billed per annum. The lease expired on 10 May 2086. Having 60 years as a residual term we estimated the compensation to the freeholder to extend the lease to be within £24,700 and £28,600 exclusive of fees.
In 2011 we were phoned by Mr and Mrs. J Allen who, having completed a first floor apartment in Ferryhill in June 2003. We are asked if we could approximate the premium could be for a ninety year lease extension. Similar premises in Ferryhill with a long lease were worth £210,000. The mid-range ground rent payable was £50 invoiced every twelve months. The lease ran out on 12 March 2106. Considering the 80 years left we calculated the premium to the freeholder to extend the lease to be within £8,600 and £9,800 plus expenses.