Duxford leases on domestic deteriorating in value. if your lease has approximately 90 years remaining, you should start considering the need for a lease extension. It is important to recognise that it is that it is financially advisable for your lease extension to take place before the term of the existing lease dips under eighty years - otherwise a higher amount will be due. Flat owners in Duxford will mostly be legally entitled to a lease extension; however a solicitor will confirm your eligibility. In certain situations you may not qualify. There are prescribed deadlines and procedures to comply with once the process has commenced so it’s sensible to be guided by a conveyancer during the process.
It is conventional wisdom that a residential leasehold with over one hundred years remaining is worth approximately the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the property will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Godiva Mortgages | |
| National Westminster Bank | |
| Santander | |
| Skipton Building Society | |
| The Mortgage Works |
Regardless of whether you are a tenant or a landlord in Duxford,the lease extension lawyers 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 Duxford valuers.
Michael owned a conversion flat in Duxford being sold with a lease of a few days over 59 years remaining. Michael informally contacted his freeholder being a well known local-based freehold company and enquired on a premium to extend the lease. The landlord was keen to give an extension on non-statutory terms taking the lease to 125 years subject to a new rent to start with set at £100 per annum and doubled every twenty five years thereafter. No ground rent would be due on a lease extension were Michael to exercise his statutory right. Michael obtained expert legal guidance and was able to make a more informed decision and deal with the matter and sell the property.
Last Autumn we were contacted by Ms Stephanie Harris , who completed a one bedroom flat in Duxford in July 2011. We are asked if we could shed any light on how much (approximately) premium would be for a 90 year lease extension. Comparable premises in Duxford with an extended lease were worth £183,600. The average ground rent payable was £65 invoiced quarterly. The lease elapsed on 18 May 2083. Having 57 years as a residual term we calculated the premium to the freeholder to extend the lease to be between £28,500 and £33,000 exclusive of legals.
Last month we were approach by Mr and Mrs. C Davies , who was assigned a lease of a newly refurbished flat in Duxford in February 2005. We are asked if we could estimate the premium could be to extend the lease by ninety years. Identical residencies in Duxford with an extended lease were valued around £250,000. The mid-range amount of ground rent was £50 billed every twelve months. The lease elapsed in 2094. Taking into account 68 years unexpired we approximated the compensation to the freeholder for the lease extension to be between £9,500 and £11,000 not including costs.