The nearer a residential lease in Cranfield gets to zero years unexpired, the more it reduces the value of the property. Where the lease has, over one hundred years to run then this decrease may be of little impact however there will become a stage when a lease has under than 80 years left 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. The majority of flat owners in Cranfield will qualify for this right; however a conveyancing solicitor can confirm whether you qualify for a lease extension. In certain situations you may not qualify, the most common reason being that you have not been the owner of the property for two years.
It is conventional wisdom that a residential leasehold with in excess of one hundred years remaining is worth approximately the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the property will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Lease extensions in Cranfield can be a difficult process. We recommend you obtain professional help from a lawyer and surveyor 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 in-depth market knowledge dealing with Cranfield lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
In the wake of 6 months of unsuccessful discussions with the landlord of her first floor apartment in Cranfield, Kate commenced the lease extension process as the eighty year threshold was rapidly advancing. The transaction was finalised in August 2014. The landlord’s charges were restricted to under 600 pounds.
In 2010 we were contacted by Dr H Roberts who, having owned a recently refurbished apartment in Cranfield in June 1996. We are asked if we could approximate the compensation to the landlord would likely be to prolong the lease by a further 90 years. Comparative properties in Cranfield with 100 year plus lease were valued around £256,600. The average ground rent payable was £60 billed every twelve months. The lease expired in 2078. Given that there were 52 years left we calculated the premium to the freeholder to extend the lease to be between £39,000 and £45,000 exclusive of costs.
Mrs L Martinez acquired a studio apartment in Cranfield in February 1995. The dilemma was if we could shed any light on how much (roughly) premium would be for a ninety year extension to my lease. Comparable properties in Cranfield with 100 year plus lease were valued about £218,000. The average ground rent payable was £45 invoiced monthly. The lease ended on 8 June 2089. Having 63 years unexpired we approximated the premium to the freeholder to extend the lease to be within £17,100 and £19,800 plus fees.