Datchet leases on residential properties are gradually losing value. if your lease has approximately 90 years remaining, you should start considering the need for a lease extension. If lease term falls under 80 years, you will then have to pay 50% of the property's 'marriage value' on top of the standard cost of the lease extension to your landlord. Marriage value is the amount of extra value that a lease extension will add to the property. Flat owners in Datchet will mostly be legally entitled to a lease extension; however it’s a good idea to check with a conveyancer to confirm if you qualify. In some cases you may not qualify. There are prescribed timetables and procedures to comply with once the process is initiated so it’s best to be guided by a conveyancing solicitor during the process.
It is generally accepted that a property with in excess of 100 years unexpired lease term is worth approximately 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 in the future.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Coventry Building Society | |
| Leeds Building Society | |
| Skipton Building Society | |
| TSB |
The lawyers that we work with undertake Datchet lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancing solicitor we work with provide it.
Last year John, came critically near to the 80-year mark with the lease on his one bedroom apartment in Datchet. Having purchased his home 18 years ago, the length of the lease was of no importance. Luckily, he recognised he needed to take action soon on a lease extension. John was able to extend his lease just in the nick of time in April. John and the freeholder via the management company ultimately agreed on a premium of £6,000 . If he failed to meet the deadline, the sum would have become more costly by at least £975.
Mr and Mrs. N Richardson acquired a one bedroom apartment in Datchet in April 2007. The dilemma was if we could estimate the price would likely be to extend the lease by 90 years. Identical premises in Datchet with 100 year plus lease were worth £290,000. The average ground rent payable was £45 billed per annum. The lease expired in 2099. Given that there were 73 years left we calculated the compensation to the freeholder for the lease extension to be between £8,600 and £9,800 exclusive of costs.
Dr Callum Reed completed a garden apartment in Datchet in January 2006. The question was if we could estimate the premium could be to extend the lease by ninety years. Comparative residencies in Datchet with a long lease were in the region of £235,600. The mid-range amount of ground rent was £60 invoiced per annum. The lease came to a finish on 16 August 2088. Having 62 years outstanding we approximated the premium to the landlord for the lease extension to be within £21,900 and £25,200 plus expenses.