Gorleston leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of the lease becomes more expensive. Legislation has been in place for sometime now which permits qualifying Gorleston residential leaseholders to extend the terms of long leases. Where you are a leasehold owner in Gorleston you must check if your lease has between 70 and 90 years remaining. In particular once the remaining lease term slips under eighty years, the compensation to the landlord for any lease extension sharply increases as part of the premium you will incur is what is known as a marriage value
It is generally considered that a residential leasehold with over one hundred years remaining is worth approximately the equivalent as a freehold. Where an additional 90 years added to all but the shortest lease, the residence will be worth the same as a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Halifax | 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 |
Lease extensions in Gorleston can be a difficult process. We recommend you obtain professional help from a conveyancing solicitor and valuer with experience in this area.
We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have a wealth of experience procuring Gorleston lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Jackson was the the leasehold proprietor of a high value apartment in Gorleston being marketed with a lease of just over 72 years left. Jackson informally contacted his freeholder a well known London-based freehold company for a lease extension. The freeholder was prepared to grant 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. Ordinarily, ground rent would not be due on a lease extension were Jackson to exercise his statutory right. Jackson procured expert legal guidance and secured an acceptable deal without going to tribunal and sell the flat.
Dr H García moved into a studio apartment in Gorleston in June 2000. We are asked if we could shed any light on how much (roughly) price would be to prolong the lease by 90 years. Similar properties in Gorleston with a long lease were in the region of £183,600. The average amount of ground rent was £65 invoiced per annum. The lease ran out on 24 June 2082. Having 57 years left we calculated the compensation to the landlord to extend the lease to be between £28,500 and £33,000 plus fees.
Dr Caleb Bell was assigned a lease of a studio apartment in Gorleston in January 2000. The dilemma was if we could shed any light on how much (approximately) price could be for a 90 year lease extension. Comparable properties in Gorleston with a long lease were in the region of £245,000. The mid-range amount of ground rent was £50 invoiced monthly. The lease terminated on 26 June 2093. Considering the 68 years outstanding we approximated the compensation to the landlord for the lease extension to be between £9,500 and £11,000 plus fees.