Runcorn leases on residential deteriorating in value. if your lease has about 90 years remaining, you should start thinking about a lease extension. 80 years is a significant number: when the unexpired term of a lease falls below this level then you start incurring an additional element called marriage value. Flat owners in Runcorn will mostly be legally entitled to a lease extension; however it’s a good idea to check with a conveyancing solicitor to check if you qualify. In certain situations you may not be entitled. There are prescribed timetables and procedures to comply with once the process is initiated so it’s wise to be guided by a lawyer during the process.
It is generally considered that a property with in excess of 100 years remaining is worth roughly the same as a freehold. Where an additional 90 years added to any lease with more than 30 years remaining, 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Engaging our service will provide you enhanced control over the value of your Runcorn leasehold, as your property will be more valuable and marketable in relation to the lease length should you decide to sell. The lawyers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
After protracted discussions with the landlord of her one bedroom apartment in Runcorn, Natasha started the lease extension process as the 80 year mark was quickly approaching. The lease extension was finalised in April 2013. The freeholder’s costs were negotiated to approximately 500 pounds.
Last January we were e-mailed by Mr J Gunderson , who owned a one bedroom apartment in Runcorn in February 2004. The question was if we could approximate the price could be for a 90 year extension to my lease. Similar residencies in Runcorn with an extended lease were in the region of £280,000. The average amount of ground rent was £55 billed per annum. The lease elapsed in 2103. Taking into account 78 years left we approximated the premium to the landlord for the lease extension to be within £13,300 and £15,400 plus fees.
In 2014 we were phoned by Dr Cameron Alexander who, having owned a basement apartment in Runcorn in September 2004. We are asked if we could shed any light on how much (roughly) price would likely be for a ninety year lease extension. Similar premises in Runcorn with 100 year plus lease were valued about £186,000. The average amount of ground rent was £65 billed annually. The lease ran out in 2083. Having 58 years left we estimated the compensation to the freeholder to extend the lease to be between £24,700 and £28,600 not including expenses.