Dawlish leases on domestic properties are gradually losing value. Where your lease has about ninety years unexpired, you should start thinking about a lease extension. If lease term is under eighty years, you will then have to pay 50% of the property's 'marriage value' on top of the usual cost of the lease extension to your landlord. Marriage value is the amount of additional value that a lease extension will add to the property. Flat owners in Dawlish will usually qualify for a lease extension; however it’s a good idea to check with a conveyancing solicitor to confirm your eligibility. In some situations you may not qualify. There are also strict deadlines and formalities to follow once the process has commenced so it’s sensible to be guided by a lawyer during the process.
Leasehold residencies in Dawlish with in excess of one hundred years unexpired on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and estate charges justify it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower. |
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Chelsea Building Society | 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower. |
| Yorkshire Building Society | 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower. |
Lease extensions in Dawlish can be a difficult process. We recommend you get professional help from a conveyancing solicitor 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 procuring Dawlish lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Oscar owned a high value flat in Dawlish on the market with a lease of a little over 61 years remaining. Oscar informally contacted his landlord a well known Bristol-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to extend the lease to 125 years on the basis of a rise in the rent to £200 annually. Ordinarily, ground rent would not be payable on a lease extension were Oscar to invoke his statutory right. Oscar procured expert legal guidance and was able to make an informed judgement and handle with the matter and sell the flat.
Dr G Laurent completed a basement apartment in Dawlish in March 2008. The question was if we could approximate the premium could be for a ninety year lease extension. Comparative homes in Dawlish with a long lease were in the region of £267,600. The average ground rent payable was £65 invoiced quarterly. The lease expired in 2093. Considering the 67 years as a residual term we approximated the compensation to the freeholder for the lease extension to be within £14,300 and £16,400 not including legals.
Dr Evan Leroy was assigned a lease of a purpose-built apartment in Dawlish in January 2004. The question was if we could shed any light on how much (roughly) compensation to the landlord would likely be to prolong the lease by 90 years. Identical residencies in Dawlish with a long lease were valued around £206,200. The mid-range amount of ground rent was £55 billed yearly. The lease came to a finish on 23 June 2082. Taking into account 56 years remaining we approximated the premium to the freeholder for the lease extension to be between £31,400 and £36,200 not including fees.