Kidsgrove leases on residential properties are gradually losing value. if your lease has in the region of ninety years remaining, you should start thinking about a lease extension. 80 years is a significant number: when the remaining term of a lease dips below this level then you begin paying an additional element called marriage value. Leasehold owners in Kidsgrove will usually be legally entitled to a lease extension; however a solicitor should be able check your eligibility. In certain situations you may not qualify. There are prescribed deadlines and procedures to follow once the process is initiated so it’s sensible to be guided by a conveyancer during the process.
It is conventional wisdom that a property with over one hundred years remaining is worth approximately the same as a freehold. Where an additional ninety years added to all but the shortest lease, the property will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Barclays plc | |
| National Westminster Bank | |
| Skipton Building Society | |
| The Mortgage Works | |
| Yorkshire Building Society |
The conveyancers that we work with handle Kidsgrove lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancer we work with provide it.
Half a year ago Harry, started to get near to the eighty-year threshold with the lease on his purpose- built flat in Kidsgrove. Having bought his home two decades ago, the unexpired term was of no concern. Luckily, he realised he would soon be paying way over the odds for Extending the lease. Harry arranged for a lease extension just under the wire in August. Harry and the landlord who owned the flat above in the end settled on an amount of £6,000 . If he had missed the deadline, the premium would have escalated by a minimum £975.
Last Christmas we were approach by Dr M Baker , who acquired a one bedroom apartment in Kidsgrove in October 1996. We are asked if we could shed any light on how much (approximately) price would be to extend the lease by a further 90 years. Similar properties in Kidsgrove with 100 year plus lease were worth £200,000. The average ground rent payable was £50 billed quarterly. The lease concluded in 2103. Taking into account 77 years as a residual term we estimated the compensation to the freeholder to extend the lease to be within £8,600 and £9,800 exclusive of expenses.
In 2012 we were phoned by Mr and Mrs. V Carter who, having purchased a purpose-built apartment in Kidsgrove in January 2010. We are asked if we could shed any light on how much (approximately) premium would likely be for a ninety year lease extension. Similar residencies in Kidsgrove with 100 year plus lease were in the region of £265,200. The average amount of ground rent was £65 invoiced per annum. The lease elapsed on 23 June 2092. Taking into account 66 years as a residual term we approximated the compensation to the landlord for the lease extension to be between £15,200 and £17,600 plus expenses.