Carlisle leases on residential properties are gradually decreasing in value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of your lease gets more expensive. It is the case that most Carlisle tenants have the right to extend their lease by an additional ninety years in accordance with the 1993 Leasehold Reform Act. If you are a leasehold owner in Carlisle you must investigate if your lease has between seventy and 90 years left. In particular once the remaining lease term slips under 80 years, the premium due on any lease extension increases dramatically as part of the premium you will incur is what is known as a marriage value
Leasehold premises in Carlisle with over one hundred years left on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such circumstances there is often little upside in buying the reversionary interest unless savings on ground rent and estate charges justify it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Birmingham Midshires | |
| Leeds Building Society | |
| Santander | |
| Virgin |
Lease extensions in Carlisle can be a difficult process. We recommend you procure guidance from a conveyancer 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 a wealth of experience dealing with Carlisle lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
In the wake of 6 months of unsuccessful discussions with the landlord of her purpose-built flat in Carlisle, Phoebe started the lease extension process as the 80 year mark was swiftly coming. The legal work was finalised in September 2006. The landlord’s charges were kept to an absolute minimum.
Last Autumn we were approach by Mr Owen Phillips , who took over the lease of a studio apartment in Carlisle in May 2002. We are asked if we could approximate the price would likely be to extend the lease by 90 years. Comparable homes in Carlisle with an extended lease were valued about £295,000. The average amount of ground rent was £45 billed per annum. The lease elapsed on 5 July 2100. Taking into account 74 years left we calculated the compensation to the landlord to extend the lease to be within £9,500 and £11,000 not including expenses.
Dr I Pérez took over the lease of a ground floor apartment in Carlisle in March 2002. The question was if we could approximate the price could be for a 90 year lease extension. Similar residencies in Carlisle with a long lease were worth £243,000. The mid-range amount of ground rent was £65 collected quarterly. The lease lapsed on 8 August 2089. Having 63 years unexpired we estimated the premium to the landlord to extend the lease to be within £20,000 and £23,000 exclusive of expenses.