Billingham leases on residential deteriorating in value. if your lease has in the region of ninety years left, you should start considering the need for a lease extension. If lease term falls under eighty years, you will then have to pay 50% of the property's 'marriage value' in addition to the usual cost of the lease extension to the landlord. Marriage value is the amount of additional value that a lease extension will add to the property. Flat owners in Billingham will usually qualify for a lease extension; however It would be wise to check with a conveyancer to confirm your eligibility. In certain cases you may not be entitled. There are also strict timetables and steps to comply with once the process is initiated so it’s wise to be guided by a conveyancer during the process.
Leasehold properties in Billingham with in excess of one hundred years left on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such circumstances there is often little to be gained by buying the freehold unless savings on ground rent and estate charges warrant it.
| Lender | Requirement |
|---|---|
| Chelsea Building Society | |
| Halifax | |
| Nationwide Building Society | |
| Santander | |
| Yorkshire Building Society |
Lease extensions in Billingham can be a difficult process. We recommend you secure guidance from a conveyancing solicitor and valuer well versed in the legislation and lease extension process.
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 a wealth of experience procuring Billingham lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Last October Alfie, started to get close to the eighty-year threshold with the lease on his basement apartment in Billingham. Having bought his home twenty years ago, the length of the lease was of no concern. by good luck, it dawned on him that he needed to take steps soon on Extending the lease. Alfie was able to extend his lease just under the wire last July. Alfie and the landlord in the end settled on a premium of £5,000 . If he not met the deadline, the amount would have increased by at least £1,025.
Last Winter we were called by Dr Liam Collins , who bought a purpose-built apartment in Billingham in April 2012. We are asked if we could estimate the compensation to the landlord would be for a 90 year lease extension. Identical homes in Billingham with 100 year plus lease were valued around £275,000. The average ground rent payable was £45 collected monthly. The lease expired in 2095. Given that there were 69 years left we calculated the premium to the freeholder for the lease extension to be within £12,400 and £14,200 plus expenses.
In 2012 we were phoned by Mr Muhammad Miller who, having bought a one bedroom apartment in Billingham in February 1996. We are asked if we could approximate the premium would be for a ninety year extension to my lease. Comparative residencies in Billingham with an extended lease were worth £216,000. The average ground rent payable was £60 collected monthly. The lease lapsed on 25 October 2084. Given that there were 58 years outstanding we approximated the premium to the landlord to extend the lease to be within £28,500 and £33,000 plus fees.