Heddon On The Wall leases on residential properties are gradually decreasing in value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of the lease becomes more expensive. Legislation has been in place for sometime now allowing qualifying Heddon On The Wall residential leaseholders to extend the terms of long leases. If you are a leasehold owner in Heddon On The Wall you would be well advised to check if your lease has between 70 and ninety years left. In particular once the remaining lease term slips under 80 years, the cost of any lease extension increases dramatically as an element of the premium you pay is what is known as a marriage value
Leasehold properties in Heddon On The Wall with more than 100 years remaining on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such circumstances there is often little to be gained by buying the freehold unless savings on ground rent and estate charges justify it.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | |
| Birmingham Midshires | |
| Halifax | |
| Leeds Building Society | |
| Nationwide Building Society |
Using our service gives you enhanced control over the value of your Heddon On The Wall leasehold, as your property will be more valuable and saleable in relation to the lease length should you decide to sell. The conveyancers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
Logan was the the leasehold owner of a 2 bedroom apartment in Heddon On The Wall on the market with a lease of a few days over 59 years left. Logan on an informal basis approached his landlord a well known Manchester-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to extend the lease to 125 years subject to an increased rent to £50 yearly. No ground rent would be due on a lease extension were Logan to exercise his statutory right. Logan obtained expert advice and secured satisfactory resolution without going to tribunal and sell the flat.
Mr C Ward owned a ground floor apartment in Heddon On The Wall in June 2009. We are asked if we could estimate the premium would be for a ninety year extension to my lease. Identical properties in Heddon On The Wall with a long lease were in the region of £191,000. The mid-range ground rent payable was £65 collected per annum. The lease came to a finish on 19 September 2084. Taking into account 58 years outstanding we approximated the premium to the freeholder for the lease extension to be within £23,800 and £27,400 plus legals.
In 2012 we were e-mailed by Dr N Fournier who, having owned a purpose-built apartment in Heddon On The Wall in July 2006. We are asked if we could shed any light on how much (approximately) price would likely be to extend the lease by a further 90 years. Comparative properties in Heddon On The Wall with a long lease were valued about £250,000. The average amount of ground rent was £50 invoiced per annum. The lease ended in 2095. Considering the 69 years left we calculated the premium to the freeholder to extend the lease to be between £9,500 and £11,000 plus fees.