Cippenham leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of your lease becomes more expensive. Legislation has been in place for sometime now allowing qualifying Cippenham residential leaseholders to extend the terms of long leases. If you are a leasehold owner in Cippenham you would be well advised to see if your lease has between seventy and 90 years left. There are compelling reasons why a Cippenham leaseholder with a lease having around eighty years unexpired should take action to make sure that a lease extension is put in place without delay
It is conventional wisdom that a property with more than 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the premises will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Bank of Scotland | |
| Skipton Building Society | |
| TSB | |
| Yorkshire Building Society |
Irrespective of whether you are a tenant or a freeholder in Cippenham,the lease extension lawyers that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Cippenham valuers.
Two years ago Arthur, started to get near to the eighty-year mark with the lease on his ground floor apartment in Cippenham. In buying his flat twenty years previously, the length of the lease was of minimal relevance. Luckily, he recognised he would imminently be paying an escalated premium for Extending the lease. Arthur extended the lease at the eleventh hour in June. Arthur and the freeholder via the management company eventually agreed on an amount of £5,000 . If he had missed the deadline, the sum would have increased by at least £1,150.
In 2009 we were phoned by Dr S Cox who, having completed a studio apartment in Cippenham in August 2002. We are asked if we could approximate the price would be to prolong the lease by an additional years. Identical homes in Cippenham with a long lease were valued about £176,200. The mid-range amount of ground rent was £65 billed yearly. The lease came to a finish on 15 November 2082. Considering the 56 years outstanding we calculated the premium to the freeholder to extend the lease to be between £29,500 and £34,000 not including costs.
Last Spring we were approach by Mr and Mrs. T Anderson , who moved into a newly refurbished apartment in Cippenham in September 2005. We are asked if we could shed any light on how much (roughly) price would likely be to extend the lease by an additional years. Identical homes in Cippenham with a long lease were worth £242,600. The mid-range ground rent payable was £45 collected quarterly. The lease elapsed in 2093. Taking into account 67 years outstanding we approximated the premium to the landlord to extend the lease to be between £11,400 and £13,200 exclusive of fees.