Exminster leases on domestic properties are gradually losing value. Where your lease has about ninety years left, you should start thinking about a lease extension. If lease term falls under eighty years, you will then have to pay half of the property's 'marriage value' on top of the usual cost of the lease extension to the landlord. Marriage value is the amount of extra value that a lease extension will add to the property. Leasehold owners in Exminster will mostly be legally entitled to a lease extension; however a solicitor should be able check if you qualify. In some situations you may not qualify. There are prescribed timetables and procedures to follow once the process is initiated so it’s prudent to be guided by a conveyancer during the process.
Leasehold premises in Exminster with in excess of 100 years unexpired on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little upside in purchasing the reversionary interest unless savings on ground rent and maintenance charges warrant it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Barclays plc | |
| Chelsea Building Society | |
| Godiva Mortgages | |
| Nationwide Building Society |
Irrespective of whether you are a tenant or a freeholder in Exminster,the lease extension solicitors that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Exminster valuers.
During the course of the last few months Riley, came perilously near to the eighty-year threshold with the lease on his basement apartment in Exminster. Having bought his property two decades ago, the lease term was of no interest. Luckily, he noticed he would imminently be paying way over the odds for a lease extension. Riley arranged for a lease extension just ahead of time in January. Riley and the freeholder in the end settled on a premium of £6,000 . If the lease had descended below eighty years, the price would have gone up by a minimum £950.
Last Winter we were contacted by Mr A Walker , who took over the lease of a first floor apartment in Exminster in March 1999. The dilemma was if we could approximate the premium could be to prolong the lease by a further 90 years. Comparative homes in Exminster with an extended lease were worth £245,000. The average amount of ground rent was £50 billed every twelve months. The lease lapsed on 7 June 2094. Given that there were 68 years remaining we calculated the compensation to the landlord to extend the lease to be between £9,500 and £11,000 plus professional charges.
Mr and Mrs. N Moreau moved into a garden apartment in Exminster in July 2006. We are asked if we could shed any light on how much (approximately) premium could be for a ninety year extension to my lease. Comparative properties in Exminster with a long lease were valued around £285,000. The mid-range ground rent payable was £55 billed yearly. The lease terminated on 8 June 2105. Considering the 79 years left we estimated the premium to the landlord for the lease extension to be between £13,300 and £15,400 not including expenses.