The closer a domestic lease in Chepstow gets to zero years unexpired, the the greater the reduction in the value of the property. If the lease has, in excess of 99 years to run then this decrease may be fractional however there will become a stage when a lease has less than 80 years remaining as part of the premium you will incur is what is termed as a marriage value. This could be significant. It is the primary rational as to why you should extend the lease sooner than later. Most flat owners in Chepstow will meet the qualifying criteria; that being said a conveyancing solicitor should be able to confirm whether you are eligible for a lease extension. In limited situations you may not qualify, the most common reason being that you have not been the owner of the property for two years.
Leasehold properties in Chepstow with more than one hundred years outstanding 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 home. In such situations there is often little to be gained by purchasing the freehold unless savings on ground rent and maintenance charges justify it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Chelsea Building Society | 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower. |
| 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 Chepstow can be a difficult process. We recommend you get professional help from a conveyancer 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 dealing with Chepstow lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Isaac owned a 2 bedroom apartment in Chepstow on the market with a lease of fraction over fifty eight years left. Isaac informally contacted his landlord being a well known London-based freehold company for a lease extension. The freeholder indicated a willingness to extend the lease to 125 years on the basis of an increased rent to £200 yearly. No ground rent would be due on a lease extension were Isaac to exercise his statutory right. Isaac obtained expert legal guidance and was able to make an informed judgement and handle with the matter and readily saleable.
Last month we were phoned by Mrs C Rivera , who bought a one bedroom apartment in Chepstow in April 1996. The dilemma was if we could approximate the compensation to the landlord could be to extend the lease by 90 years. Comparative homes in Chepstow with a long lease were valued about £200,800. The average amount of ground rent was £65 billed quarterly. The lease came to a finish on 16 October 2085. Considering the 60 years left we estimated the compensation to the freeholder to extend the lease to be within £20,900 and £24,200 exclusive of expenses.
Last Summer we were e-mailed by Mr and Mrs. P King , who moved into a one bedroom apartment in Chepstow in August 2010. We are asked if we could approximate the price could be to prolong the lease by a further 90 years. Similar premises in Chepstow with a long lease were worth £255,000. The average ground rent payable was £50 invoiced yearly. The lease elapsed on 4 June 2096. Given that there were 71 years left we approximated the compensation to the landlord for the lease extension to be between £9,500 and £11,000 not including legals.