The closer a domestic lease in Costessey nears to zero years unexpired, the the greater the reduction in the value of the property. Where the lease has, beyond 125 years to run then this decrease may be of little impact however there will become a point in time 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 increase sharply the cost. It is the primary reason why you should consider extending sooner than later. Many flat owners in Costessey will meet the qualifying criteria; however a conveyancing solicitor will be able to advise if you qualify to extend your lease. In limited situations you may not qualify, the most common reason being that you have owned the property for less than two years.
It is generally accepted that a property with more than 100 years remaining is worth roughly the same as a freehold. Where an further 90 years added to all but the shortest lease, the property will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Birmingham Midshires | |
| Coventry Building Society | |
| Royal Bank of Scotland | |
| Yorkshire Building Society |
Regardless of whether you are a tenant or a freeholder in Costessey,the lease extension lawyers that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Costessey valuers.
Twenty four months ago Muhammad, started to get near to the eighty-year threshold with the lease on his leasehold flat in Costessey. Having purchased his property two decades ago, the unexpired term was of little relevance. by good luck, it dawned on him that he would soon be paying an escalated premium for a lease extension. Muhammad arranged for a lease extension just under the wire in September. Muhammad and the freeholder eventually agreed on sum of £5,000 . If the lease had gone lower than 80 years, the figure would have gone up by a minimum £900.
Ms Courtney Nelson bought a one bedroom flat in Costessey in May 2003. The question was if we could estimate the price would likely be for a ninety year extension to my lease. Similar residencies in Costessey with a long lease were valued around £264,000. The average amount of ground rent was £60 collected monthly. The lease end date was in 2079. Considering the 53 years remaining we approximated the premium to the freeholder to extend the lease to be between £37,100 and £42,800 plus costs.
In 2009 we were contacted by Mr P Cox who, having bought a recently refurbished apartment in Costessey in March 2009. We are asked if we could estimate the compensation to the landlord could be for a 90 year lease extension. Similar flats in Costessey with an extended lease were worth £225,400. The average amount of ground rent was £45 billed per annum. The lease terminated on 8 November 2090. Having 64 years unexpired we calculated the compensation to the freeholder for the lease extension to be within £16,200 and £18,600 plus professional charges.