The closer a domestic lease in Lacock gets to zero years unexpired, the more it reduces the value of the property. If the residual term has, more than 125 years to run then this decrease may be fractional however there will become a stage when a lease has less than eighty 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 reason why you should consider extending sooner as opposed to later. The majority of flat owners in Lacock will qualify for this right; nevertheless a lawyer will be able to confirm if you qualify to extend your lease. In certain situations you may not qualify, the most frequent reason being that you have owned the property for under two years.
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 any lease with more than 35 years left, the residence will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Chelsea Building Society | |
| Coventry Building Society | |
| Godiva Mortgages | |
| Nationwide Building Society | |
| Santander |
The lawyers that we work with undertake Lacock 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 lawyer we work with provide it.
Last Summer Reuben, started to get close to the eighty-year threshold with the lease on his purpose- built apartment in Lacock. Having purchased his property twenty years previously, the length of the lease was of little relevance. Fortunately, he realised he would soon be paying an inflated amount for Extending the lease. Reuben extended the lease just under the wire in January. Reuben and the landlord who owned the flat above subsequently settled on an amount of £5,500 . If he had missed the deadline, the amount would have increased by at least £975.
Ms Imogen Brooks purchased a first floor flat in Lacock in May 1997. The question was if we could estimate the price could be for a ninety year lease extension. Comparative premises in Lacock with an extended lease were in the region of £300,000. The mid-range ground rent payable was £50 invoiced quarterly. The lease end date was on 5 July 2102. Considering the 76 years left we estimated the compensation to the landlord to extend the lease to be within £8,600 and £9,800 exclusive of professional charges.
Last Spring we were e-mailed by Dr Rachael Torres , who was assigned a lease of a garden apartment in Lacock in April 2007. The question was if we could estimate the compensation to the landlord would be for a ninety year lease extension. Comparable homes in Lacock with an extended lease were in the region of £257,800. The mid-range ground rent payable was £65 collected every twelve months. The lease ended on 11 July 2091. Given that there were 65 years left we calculated the compensation to the landlord for the lease extension to be between £18,100 and £20,800 exclusive of expenses.