As the length of the unexpired term of a Repton domestic lease decreases so does its value and therefore the value of your property. If the residual term has, beyond 100 years remaining then this decrease may be of little impact however there will become a point in time when a lease has fewer than eighty years left as part of the premium you will incur is what is known as a marriage value. This could be significant. It is the main rational as to why you should consider extending sooner rather than later. Most flat owners in Repton will meet the qualifying criteria; nevertheless a conveyancer can advise whether you are eligible to extend your lease. In limited 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 more than one hundred years remaining is worth roughly the equivalent as a freehold. Where an additional ninety years added to any lease with more than 30 years remaining, the premises will be worth the same as a freehold for many years ahead.
| 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. |
| 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. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Regardless of whether you are a tenant or a landlord in Repton,the lease extension experts that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Repton valuers.
Harrison was the the leasehold proprietor of a studio flat in Repton being sold with a lease of a little over 61 years remaining. Harrison informally contacted his freeholder being a well known London-based freehold company for a lease extension. The landlord was keen to give an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent to start with set at £100 per annum and doubled every 25 years thereafter. No ground rent would be payable on a lease extension were Harrison to invoke his statutory right. Harrison procured expert legal guidance and was able to make a more informed decision and handle with the matter and sell the flat.
Last Summer we were phoned by Mr and Mrs. G Davis , who was assigned a lease of a garden apartment in Repton in August 1995. We are asked if we could shed any light on how much (approximately) compensation to the landlord would likely be for a 90 year lease extension. Similar flats in Repton with an extended lease were valued around £250,000. The mid-range amount of ground rent was £50 billed every twelve months. The lease elapsed on 24 February 2095. Having 69 years left we calculated the compensation to the landlord for the lease extension to be between £9,500 and £11,000 not including legals.
Mrs W Mitchell completed a basement apartment in Repton in June 2007. The question was if we could approximate the premium could be for a 90 year extension to my lease. Comparative homes in Repton with an extended lease were valued about £285,000. The average amount of ground rent was £55 collected yearly. The lease lapsed in 2106. Having 80 years unexpired we estimated the premium to the landlord to extend the lease to be between £12,400 and £14,200 exclusive of legals.