Cinderford leases on residential properties are gradually losing value. Where your lease has approximately ninety years unexpired, you should start thinking about a lease extension. If lease term is under eighty years, you will then have to pay half of the property's 'marriage value' on top of the standard cost of the lease extension to the landlord. Marriage value is the amount of extra value that a lease extension will add to the property. Flat owners in Cinderford will usually qualify for a lease extension; however It would be wise to check with a conveyancer to confirm your eligibility. In certain circumstances you may not qualify. There are also strict deadlines and procedures to follow once the process has commenced so it’s prudent to be guided by a lawyer during the process.
Leasehold properties in Cinderford with more than one hundred years left on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value 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 |
|---|---|
| Bank of Scotland | |
| TSB | |
| The Mortgage Works | |
| Royal Bank of Scotland | |
| Yorkshire Building Society |
Retaining our service will provide you better control over the value of your Cinderford leasehold, as your property will be more valuable and marketable in terms of lease length should you decide to sell. The conveyancing solicitors that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
Callum was the the leasehold owner of a studio flat in Cinderford being sold with a lease of a little over 72 years unexpired. Callum on an informal basis contacted his freeholder a well known Bristol-based freehold company and enquired on a premium to extend the lease. The freeholder was prepared to agree an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent initially set at £200 per annum and increase every twenty five years thereafter. Ordinarily, ground rent would not be payable on a lease extension were Callum to exercise his statutory right. Callum procured expert advice and secured satisfactory deal informally and readily saleable.
Dr Louise Brown purchased a purpose-built apartment in Cinderford in October 2008. The question was if we could shed any light on how much (roughly) price would likely be for a 90 year lease extension. Comparable residencies in Cinderford with a long lease were valued around £290,000. The average amount of ground rent was £60 collected every twelve months. The lease elapsed on 28 June 2106. Considering the 80 years as a residual term we approximated the premium to the landlord to extend the lease to be between £13,300 and £15,400 not including legals.
In 2010 we were phoned by Mr Nathaniel Morel who, having purchased a one bedroom apartment in Cinderford in March 1999. The question was if we could shed any light on how much (approximately) price could be for a 90 year extension to my lease. Comparative residencies in Cinderford with an extended lease were in the region of £200,800. The mid-range amount of ground rent was £65 billed monthly. The lease came to a finish in 2086. Considering the 60 years left we estimated the premium to the landlord to extend the lease to be between £20,900 and £24,200 not including fees.