It’s an underpublicised truth that a Corbridge residential lease is a wasting asset. As the lease term diminishes so does the value of the property. The extent of this is not fully appreciated in the early years due to the deflation being disguised by increases in the Corbridge property prices.Once your lease nears 85ish years, you should start thinking about a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease slips lower than eighty years - otherwise a higher amount will be payable. The majority of flat owners in Corbridge will be able to extend under the legislation; however a lawyer should be able to clarify whether you are eligibility. In some situations you may not be entitled. There are also strict timeframes and procedures to follow once the process is initiated and you will need to be guided by your lawyer for the duration of the formalities.
It is conventional wisdom that a residential leasehold with more than one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional 90 years added to all but the shortest lease, the premises will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | |
| Godiva Mortgages | |
| Halifax | |
| Virgin | |
| Yorkshire Building Society |
Lease extensions in Corbridge can be a difficult process. We recommend you get professional help from a conveyancer and surveyor with experience in lease extensions.
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 Corbridge lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Last year Harvey, came precariously close to the eighty-year mark with the lease on his studio flat in Corbridge. Having bought his home two decades ago, the lease term was of no interest. by good luck, it dawned on him that he would imminently be paying an escalated premium for a lease extension. Harvey was able to extend his lease just in the nick of time in April. Harvey and the freeholder via the management company subsequently agreed on an amount of £5,500 . If the lease had slipped to less than eighty years, the amount would have gone up by a minimum £1,075.
In 2011 we were e-mailed by Mr and Mrs. N Hall who, having completed a studio apartment in Corbridge in August 2010. We are asked if we could estimate the price would likely be to extend the lease by an additional years. Comparable properties in Corbridge with an extended lease were worth £184,000. The average ground rent payable was £55 collected yearly. The lease expired on 13 October 2079. Taking into account 53 years left we estimated the compensation to the landlord for the lease extension to be within £28,500 and £33,000 not including legals.
In 2014 we were called by Mr and Mrs. O Lefebvre who, having took over the lease of a garden apartment in Corbridge in January 1998. We are asked if we could approximate the premium could be for a ninety year lease extension. Comparative properties in Corbridge with 100 year plus lease were valued about £290,000. The average ground rent payable was £45 collected monthly. The lease expired on 5 August 2099. Given that there were 73 years left we approximated the compensation to the landlord to extend the lease to be between £9,500 and £11,000 not including fees.