Beaumaris leases on residential properties are gradually losing value. Where your lease has about 90 years left, you should start thinking about a lease extension. If lease term falls under 80 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 extra value that a lease extension will add to the property. Leasehold owners in Beaumaris will mostly qualify for a lease extension; however a solicitor should be able confirm your eligibility. In some cases you may not be entitled. There are prescribed deadlines and procedures to follow once the process is initiated so it’s prudent to be guided by a lawyer during the process.
It is generally considered that a residential leasehold with over 100 years unexpired lease term is worth approximately the same as a freehold. Where an further ninety years added to all but the shortest lease, the property will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Birmingham Midshires | |
| National Westminster Bank | |
| TSB | |
| Royal Bank of Scotland |
Using our service will provide you better control over the value of your Beaumaris leasehold, as your property will be more valuable and marketable in terms of lease length should you decide to sell. The lawyers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
Last Summer Cameron, started to get near to the eighty-year mark with the lease on his two bedroom flat in Beaumaris. In buying his home two decades ago, the unexpired term was of no relevance. As luck would have it, he realised he needed to take steps soon on Extending the lease. Cameron was able to extend his lease just ahead of time last April. Cameron and the freeholder via the management company eventually agreed on the final figure of £5,500 . If he not met the deadline, the premium would have increased by at least £850.
Last Autumn we were phoned by Mr J Petit , who bought a basement apartment in Beaumaris in August 2010. We are asked if we could estimate the compensation to the landlord would likely be to extend the lease by 90 years. Comparable properties in Beaumaris with an extended lease were worth £265,000. The average amount of ground rent was £50 invoiced annually. The lease ran out on 12 September 2100. Given that there were 74 years left we estimated the premium to the freeholder for the lease extension to be between £9,500 and £11,000 plus costs.
In 2014 we were e-mailed by Mr and Mrs. S Mitchell who, having bought a garden flat in Beaumaris in October 1997. The dilemma was if we could shed any light on how much (roughly) premium would likely be for a ninety year lease extension. Comparable homes in Beaumaris with a long lease were in the region of £166,400. The mid-range amount of ground rent was £60 collected per annum. The lease expired on 7 October 2080. Having 54 years left we estimated the compensation to the freeholder for the lease extension to be within £32,300 and £37,400 plus legals.