Disley leases on domestic properties are gradually losing value. if your lease has approximately 90 years unexpired, you should start thinking about a lease extension. If lease term is less than eighty years, you will then have to pay half 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 Disley will usually be legally entitled to a lease extension; however a solicitor should be able confirm your eligibility. In some situations you may not be entitled. There are prescribed deadlines and procedures to follow once the process is triggered so it’s sensible to be guided by a lawyer during the process.
Leasehold residencies in Disley with more than 100 years unexpired on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such circumstances there is often little upside in purchasing the freehold unless savings on ground rent and maintenance charges warrant it.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Regardless of whether you are a tenant or a freeholder in Disley,the lease extension experts that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Disley valuers.
Kyle was the the leasehold proprietor of a 2 bedroom flat in Disley on the market with a lease of a little over sixty years left. Kyle informally spoke with his landlord being a well known Manchester-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to grant an extension taking the lease to 125 years subject to a new rent at the outset set at £100 per annum and increase every twenty five years thereafter. Ordinarily, ground rent would not be payable on a lease extension were Kyle to invoke his statutory right. Kyle obtained expert advice and secured an acceptable deal informally and readily saleable.
In 2010 we were phoned by Mr and Mrs. K Fournier who, having took over the lease of a newly refurbished apartment in Disley in August 1999. The question was if we could estimate the price would be to extend the lease by a further 90 years. Comparative residencies in Disley with 100 year plus lease were in the region of £290,000. The mid-range ground rent payable was £45 collected annually. The lease ended on 20 August 2099. Given that there were 73 years remaining we calculated the compensation to the landlord to extend the lease to be within £9,500 and £11,000 exclusive of costs.
Last month we were approach by Mr Ben Martínez , who completed a one bedroom flat in Disley in August 2006. The question was if we could estimate the price would be to extend the lease by ninety years. Comparable residencies in Disley with an extended lease were worth £240,600. The mid-range ground rent payable was £60 billed quarterly. The lease lapsed on 21 June 2088. Having 62 years remaining we approximated the premium to the landlord for the lease extension to be within £21,900 and £25,200 plus professional charges.