There is no doubt about it a leasehold flat or house in Machen is a wasting asset as a result of the shortening lease. If the residual term has, in excess of 125 years to run then this decrease may be of little impact however there will become a stage when a lease has under than 80 years left as part of the premium you will incur is what is termed as a marriage value. This could be significant. It is the primary logic behind why you should extend the lease sooner as opposed to later. Many flat owners in Machen will qualify for this right; however a conveyancing solicitor will be able to confirm if you are eligible to extend your lease. In limited situations you may not qualify, the most common reason being that you have owned the property for under two years.
Leasehold residencies in Machen with in excess of one hundred years left on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little upside in purchasing the freehold unless savings on ground rent and estate charges warrant it.
| 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. |
| Coventry Building Society | A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Lease extensions in Machen can be a difficult process. We recommend you get professional help from a lawyer and surveyor with experience in this area.
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 a wealth of experience dealing with Machen lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Off the back of lengthy discussions with the landlord of her ground floor apartment in Machen, Elizabeth initiated the lease extension process as the eighty year mark was swiftly coming. The transaction was finalised in January 2013. The landlord’s costs were kept to an absolute minimum.
Last Spring we were phoned by Dr Caitlin Moore , who completed a garden apartment in Machen in January 2003. The question was if we could estimate the price could be for a ninety year lease extension. Comparable homes in Machen with an extended lease were worth £189,000. The average amount of ground rent was £55 billed monthly. The lease lapsed in 2079. Taking into account 53 years left we estimated the compensation to the freeholder for the lease extension to be between £28,500 and £33,000 not including legals.
In 2011 we were phoned by Ms W Brooks who, having completed a one bedroom apartment in Machen in November 2005. The question was if we could approximate the price could be to extend the lease by ninety years. Similar flats in Machen with a long lease were worth £290,000. The mid-range amount of ground rent was £45 billed quarterly. The lease ran out in 2099. Taking into account 73 years as a residual term we estimated the compensation to the landlord for the lease extension to be within £9,500 and £11,000 not including expenses.