Machen leases on domestic properties are gradually losing value. Where your lease has in the region of 90 years left, you should start thinking about a lease extension. If lease term is under 80 years, you will then be required to pay half of the property's 'marriage value' in addition to the standard cost of the lease extension to your landlord. Marriage value is the amount of extra value that a lease extension will add to the property. Leasehold owners in Machen will mostly qualify for a lease extension; however it’s a good idea to check with a conveyancer to check your eligibility. In certain circumstances you may not qualify. There are also strict deadlines and steps to follow once the process has started so it’s prudent to be guided by a lawyer during the process.
It is conventional wisdom that a property with more than 100 years remaining is worth roughly the same as a freehold. Where an additional ninety years added to any lease with more than 30 years unexpired, the premises will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | |
| Chelsea Building Society | |
| Leeds Building Society | |
| TSB | |
| The Mortgage Works |
Lease extensions in Machen can be a difficult process. We recommend you get guidance 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 in-depth market knowledge procuring Machen lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Subsequent to lengthy correspondence with the freeholder of her one bedroom apartment in Machen, Katherine initiated the lease extension process just as her lease was approaching the all-important 80-year deadline. The lease extension was finalised in February 2011. The freeholder’s costs were kept to an absolute minimum.
In 2011 we were approached by Dr Michael Pérez who, having completed a one bedroom flat in Machen in June 2000. We are asked if we could approximate the premium would likely be for a ninety year extension to my lease. Similar flats in Machen with 100 year plus lease were worth £265,200. The mid-range amount of ground rent was £65 collected monthly. The lease came to a finish on 13 August 2092. Considering the 66 years left we calculated the premium to the landlord to extend the lease to be between £15,200 and £17,600 plus fees.
In 2014 we were called by Dr Ollie Cook who, having acquired a basement flat in Machen in June 2010. The dilemma was if we could approximate the price could be for a ninety year lease extension. Similar flats in Machen with an extended lease were worth £201,200. The average amount of ground rent was £55 invoiced per annum. The lease concluded in 2082. Taking into account 56 years left we estimated the premium to the landlord to extend the lease to be within £31,400 and £36,200 exclusive of costs.