As the length of the unexpired term of a Great Missenden residential lease lessens so does its value and therefore the value of your property. Where the residual term has, in excess of 99 years remaining then this decrease may be of little impact nevertheless there will become a point in time when a lease has fewer than 80 years remaining as part of the premium you will incur is what is termed as a marriage value. This could be significant. It is the primary rational as to why you should extend the lease sooner than later. Many flat owners in Great Missenden will qualify for this right; nevertheless a conveyancing solicitor should be able to confirm whether you qualify for a lease extension. In limited situations you may not qualify, the most common reason being that you have not been the owner of the property for two years.
It is conventional wisdom that a property with over one hundred years unexpired lease term is worth roughly the equivalent as a freehold. Where an additional 90 years added to all but the shortest lease, the premises will be worth the same as a freehold for decades to come.
|Barclays plc||Mortgage term plus 25 years provided that leases of less than 85 years are be referred to us for approval.|
|Leeds Building Society||85 years remaing from the start of the mortgage.|
|TSB||Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption.|
|Royal Bank of Scotland||Mortgage term plus 30 years. For a Lifetime Mortgage, the term must be no less than 150 years minus the age of the Borrower.|
|Yorkshire Building Society||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.|
Lease extensions in Great Missenden can be a difficult process. We recommend you secure professional help from a conveyancing solicitor and valuer well versed in the legislation and lease extension process.
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 Great Missenden lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Last Spring Samuel, came precariously close to the eighty-year mark with the lease on his first floor flat in Great Missenden. Having bought his property 19 years ago, the length of the lease was of little importance. Fortunately, he recognised he needed to take action soon on Extending the lease. Samuel extended the lease at the eleventh hour in April. Samuel and the landlord who owned the flat above in the end agreed on the final figure of £5,000 . If the lease had gone lower than 80 years, the figure would have become more exhorbitant by at least £1,150.
Dr Sarah Parker owned a first floor flat in Great Missenden in April 2011. The question was if we could estimate the premium would be for a ninety year lease extension. Identical homes in Great Missenden with a long lease were worth £275,000. The average amount of ground rent was £55 collected every twelve months. The lease elapsed in 2096. Considering the 76 years remaining we estimated the compensation to the freeholder to extend the lease to be between £9,500 and £11,000 plus fees.
Last month we were approach by Mr O Turner , who owned a studio flat in Great Missenden in September 2010. The question was if we could estimate the compensation to the landlord would likely be to extend the lease by an additional years. Similar homes in Great Missenden with 100 year plus lease were worth £176,200. The average ground rent payable was £65 billed annually. The lease ran out on 11 March 2076. Taking into account 56 years remaining we approximated the premium to the freeholder for the lease extension to be between £29,500 and £34,000 exclusive of legals.