It’s a harsh certainty that a Maidenbower residential lease is a wasting asset. The lease value drops in proportion to its lease length. The extent of this is not fully appreciated in the first few years due to the depreciation being disguised by increases in the Maidenbower property prices.Once your lease nears 85ish years, you need to start thinking about a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease slips under 80 years - otherwise a higher amount will be due. Most flat owners in Maidenbower will be able to extend under the legislation; however a conveyancer should be able to clarify if you are eligibility. In some cases you may not be entitled. There are also strict deadlines and procedures to follow once the process is initiated and you will need to be guided by your lawyer throughout the formalities.
It is generally accepted that a residential leasehold with in excess of one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional 90 years added to all but the shortest lease, the residence will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Barclays plc | |
| Leeds Building Society | |
| Santander | |
| TSB |
Lease extensions in Maidenbower can be a difficult process. We recommend you get guidance from a lawyer and valuer 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 procuring Maidenbower lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Last year Hunter, came critically close to the eighty-year threshold with the lease on his two bedroom flat in Maidenbower. Having bought his home two decades ago, the unexpired term was of no importance. Thankfully, it dawned on him that he would imminently be paying way over the odds for Extending the lease. Hunter extended the lease at the eleventh hour last January. Hunter and the landlord who owned the flat above in the end settled on an amount of £6,000 . If the lease had dropped below eighty years, the premium would have gone up by at least £1,125.
Last Autumn we were contacted by Mr and Mrs. D Miller , who completed a newly refurbished flat in Maidenbower in August 2007. The question was if we could estimate the compensation to the landlord would likely be for a ninety year extension to my lease. Comparative premises in Maidenbower with 100 year plus lease were valued about £191,400. The average ground rent payable was £55 billed yearly. The lease end date was in 2080. Given that there were 54 years outstanding we calculated the premium to the freeholder for the lease extension to be within £34,200 and £39,600 exclusive of professional charges.
Last Summer we were phoned by Mr I François , who moved into a purpose-built apartment in Maidenbower in July 1998. The dilemma was if we could estimate the price could be for a 90 year extension to my lease. Similar residencies in Maidenbower with an extended lease were valued about £295,000. The average ground rent payable was £45 collected annually. The lease elapsed in 2100. Considering the 74 years as a residual term we estimated the premium to the freeholder for the lease extension to be between £8,600 and £9,800 exclusive of legals.