Carlton leases on residential properties are gradually losing value. Where your lease has in the region of ninety years unexpired, you should start considering the need for a lease extension. If lease term dips under 80 years, you will then be required to pay 50% of the property's 'marriage value' in addition to the standard cost of the lease extension to your landlord. Marriage value is the amount of additional value that a lease extension will add to the property. Leasehold owners in Carlton will usually qualify for a lease extension; however It would be wise to check with a conveyancer to check your eligibility. In some circumstances you may not qualify. There are prescribed deadlines and steps to follow once the process is triggered so it’s sensible to be guided by a conveyancing solicitor during the process.
It is conventional wisdom that a property with over one hundred years remaining is worth approximately the equivalent as a freehold. Where an additional 90 years added to any lease with more than 30 years remaining, the residence will be worth the same as a freehold for many years ahead.
| 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. |
| Coventry Building Society | A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Lease extensions in Carlton can be a difficult process. We recommend you get professional help from a conveyancing solicitor and surveyor 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 in-depth market knowledge dealing with Carlton lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
In 2014 Rory, started to get near to the 80-year threshold with the lease on his purpose- built apartment in Carlton. Having purchased his property 19 years ago, the lease term was of no relevance. Luckily, he became aware that he needed to take action soon on a lease extension. Rory arranged for a lease extension just in the nick of time in March. Rory and the landlord eventually agreed on the final figure of £6,000 . If he failed to meet the deadline, the figure would have escalated by a minimum £1,050.
Dr F Williams was assigned a lease of a ground floor apartment in Carlton in May 2007. The question was if we could approximate the price could be for a 90 year lease extension. Identical residencies in Carlton with 100 year plus lease were in the region of £201,200. The average ground rent payable was £55 collected per annum. The lease lapsed in 2082. Taking into account 56 years as a residual term we calculated the premium to the freeholder for the lease extension to be between £31,400 and £36,200 exclusive of legals.
Last month we were approach by Dr Jason Flores , who took over the lease of a one bedroom apartment in Carlton in May 2004. We are asked if we could approximate the premium could be for a ninety year extension to my lease. Comparable homes in Carlton with an extended lease were in the region of £300,000. The average amount of ground rent was £50 billed every twelve months. The lease finished in 2102. Considering the 76 years outstanding we calculated the premium to the freeholder to extend the lease to be between £8,600 and £9,800 exclusive of costs.