Catterick Garrison leases on residential properties are gradually diminishing in value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of the lease gets more expensive. Legislation has been in place for sometime now allowing qualifying Catterick Garrison residential leaseholders to extend the terms of long leases. Where you are a leasehold owner in Catterick Garrison you would be well advised to investigate if your lease has between 70 and ninety years left. In particular once the remaining lease term slips under eighty years, the amount payable for any lease extension increases dramatically as an element of the premium you pay is what is known as a marriage value
Leasehold properties in Catterick Garrison with more than 100 years left on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such situations there is often little upside in purchasing the reversionary interest unless savings on ground rent and maintenance charges warrant it.
| Lender | Requirement |
|---|---|
| Chelsea Building Society | |
| Godiva Mortgages | |
| Halifax | |
| National Westminster Bank | |
| Royal Bank of Scotland |
Lease extensions in Catterick Garrison 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 a wealth of experience dealing with Catterick Garrison lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
In recent months Edward, came seriously near to the 80-year mark with the lease on his one bedroom apartment in Catterick Garrison. In buying his property two decades ago, the lease term was of little bearing. As luck would have it, he became aware that he needed to take steps soon on a lease extension. Edward extended the lease just under the wire in May. Edward and the landlord eventually agreed on a premium of £6,000 . If the lease had gone to less than eighty years, the figure would have gone up by a minimum £1,150.
Last Christmas we were contacted by Ms Lauren Taylor , who bought a first floor flat in Catterick Garrison in May 2004. The question was if we could estimate the price would likely be to extend the lease by ninety years. Comparable flats in Catterick Garrison with 100 year plus lease were in the region of £265,000. The mid-range ground rent payable was £50 billed quarterly. The lease ran out in 2099. Considering the 73 years as a residual term we approximated the premium to the freeholder to extend the lease to be between £9,500 and £11,000 exclusive of costs.
Mr and Mrs. M Dupont completed a purpose-built flat in Catterick Garrison in May 2006. We are asked if we could approximate the price would be to extend the lease by ninety years. Comparative premises in Catterick Garrison with a long lease were valued about £264,000. The mid-range ground rent payable was £60 invoiced yearly. The lease elapsed in 2079. Taking into account 53 years left we calculated the compensation to the landlord for the lease extension to be between £37,100 and £42,800 exclusive of costs.