Datchet leases on residential deteriorating in value. Where your lease has about ninety years unexpired, you should start thinking about a lease extension. If lease term is less than 80 years, you will then be required to pay 50% 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 Datchet will mostly qualify for a lease extension; however It would be wise to check with a conveyancing solicitor to check if you qualify. In some situations you may not qualify. There are prescribed deadlines and formalities to comply with once the process has started so it’s best to be guided by a conveyancing solicitor during the process.
It is generally accepted that a residential leasehold with more than one hundred years remaining is worth roughly the same as a freehold. Where an further ninety years added to any lease with more than 35 years unexpired, the premises will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Engaging our service will provide you enhanced control over the value of your Datchet leasehold, as your property will be more valuable and marketable in relation to the lease length should you decide to sell. The conveyancing solicitors that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
Freddie owned a studio apartment in Datchet on the market with a lease of just over 72 years remaining. Freddie on an informal basis contacted his freeholder a well known local-based freehold company for a lease extension. The freeholder indicated a willingness to grant an extension taking the lease to 125 years subject to an increased rent to £125 yearly. Ordinarily, ground rent would not be payable on a lease extension were Freddie to exercise his statutory right. Freddie obtained expert legal guidance and secured satisfactory deal informally and ending up with a market value flat.
Last Summer we were e-mailed by Mr and Mrs. N Brown , who acquired a garden apartment in Datchet in January 2001. The dilemma was if we could estimate the price would be to extend the lease by an additional years. Comparative premises in Datchet with 100 year plus lease were worth £216,000. The average amount of ground rent was £60 collected quarterly. The lease expired on 8 April 2083. Taking into account 58 years left we calculated the compensation to the freeholder for the lease extension to be between £28,500 and £33,000 plus fees.
In 2011 we were phoned by Dr Kelsey Moreau who, having bought a purpose-built flat in Datchet in June 1995. The question was if we could estimate the price would likely be for a ninety year extension to my lease. Comparative homes in Datchet with 100 year plus lease were worth £205,000. The average ground rent payable was £50 billed yearly. The lease concluded on 22 July 2103. Considering the 78 years left we estimated the compensation to the landlord to extend the lease to be between £7,600 and £8,800 plus expenses.