There is no doubt about it a leasehold property in Fenny Stratford is a wasting asset as a result of the diminishing lease term. If the residual term has, beyond 100 years remaining then this decrease may be fractional nevertheless there will become a stage when a lease has fewer than eighty 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. Many flat owners in Fenny Stratford will qualify for this right; nevertheless a conveyancing solicitor can confirm if you are eligible to extend your lease. In certain situations you may not qualify, the most frequent reason being that you have owned the property for under two years.
It is generally considered that a residential leasehold with in excess of 100 years remaining is worth approximately the equivalent as a freehold. Where an additional ninety years added to any lease with more than 30 years unexpired, the residence will be worth the same as 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. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| 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 Fenny Stratford can be a difficult process. We recommend you get guidance from a conveyancing solicitor and surveyor with experience in this area.
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 Fenny Stratford lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Omar owned a high value apartment in Fenny Stratford being sold with a lease of fraction over sixty years left. Omar on an informal basis contacted his landlord a well known Bristol-based freehold company and enquired on a premium to extend the lease. The freeholder was keen to grant an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent to start with set at £150 per annum and doubled every twenty five years thereafter. No ground rent would be due on a lease extension were Omar to invoke his statutory right. Omar obtained expert advice and was able to make a more informed judgement and handle with the matter and sell the property.
In 2009 we were e-mailed by Mr and Mrs. A Sharif who, having purchased a purpose-built flat in Fenny Stratford in July 2005. The question was if we could shed any light on how much (approximately) price could be to extend the lease by 90 years. Similar premises in Fenny Stratford with a long lease were valued around £285,000. The mid-range ground rent payable was £45 billed monthly. The lease elapsed in 2098. Taking into account 72 years left we approximated the compensation to the landlord for the lease extension to be within £12,400 and £14,200 exclusive of fees.
In 2013 we were contacted by Mr and Mrs. J Rose who, having was assigned a lease of a purpose-built apartment in Fenny Stratford in July 2010. The dilemma was if we could estimate the premium would likely be for a 90 year lease extension. Identical premises in Fenny Stratford with 100 year plus lease were in the region of £233,200. The mid-range amount of ground rent was £60 invoiced per annum. The lease elapsed in 2087. Having 61 years outstanding we approximated the premium to the landlord to extend the lease to be within £22,800 and £26,400 plus expenses.