There is no doubt about it a leasehold flat or house in Irlam and Cadishead is a wasting asset as a result of the diminishing lease term. If the residual term has, in excess of 125 years remaining then this decrease may be of little impact nevertheless there will become a stage when a lease has less than 80 years unexpired as part of the premium you will incur is what is termed as a marriage value. This could be significant. It is the primary reason why you should consider extending without delay. Many flat owners in Irlam and Cadishead will qualify for this right; however a lawyer will be able to confirm whether you qualify to extend your lease. In limited situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.
It is conventional wisdom that a residential leasehold with more than one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional 90 years added to any lease with more than 45 years remaining, the property will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| Chelsea 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| 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 Irlam and Cadishead can be a difficult process. We recommend you secure professional help from a conveyancing solicitor and surveyor 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 in-depth market knowledge dealing with Irlam and Cadishead lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Aaron was the the leasehold owner of a conversion flat in Irlam and Cadishead on the market with a lease of just over 61 years outstanding. Aaron on an informal basis spoke with his landlord being a well known Manchester-based freehold company for a lease extension. The freeholder indicated a willingness to extend the lease to 125 years on the basis of a new rent to start with set at £150 per annum and doubled every 25 years thereafter. Ordinarily, ground rent would not be payable on a lease extension were Aaron to invoke his statutory right. Aaron obtained expert legal guidance and secured satisfactory resolution without going to tribunal and readily saleable.
Mrs Harriet Anderson bought a one bedroom apartment in Irlam and Cadishead in August 2011. The dilemma was if we could estimate the compensation to the landlord could be for a ninety year extension to my lease. Comparable homes in Irlam and Cadishead with an extended lease were valued around £260,000. The mid-range ground rent payable was £50 billed yearly. The lease ran out in 2098. Considering the 72 years unexpired we estimated the premium to the freeholder to extend the lease to be between £9,500 and £11,000 plus costs.
Dr George González bought a studio flat in Irlam and Cadishead in November 1998. We are asked if we could estimate the compensation to the landlord would likely be to prolong the lease by ninety years. Comparative premises in Irlam and Cadishead with a long lease were in the region of £261,600. The average amount of ground rent was £60 billed per annum. The lease concluded on 13 September 2078. Taking into account 52 years outstanding we estimated the compensation to the landlord for the lease extension to be within £39,000 and £45,000 exclusive of legals.