Marazion leases on residential deteriorating in value. Where your lease has about ninety years remaining, you should start thinking about a lease extension. An important point to note is that it is financially advisable for your lease extension to be in place before the term of the existing lease dips under 80 years - otherwise a higher amount will be payable. Leasehold owners in Marazion will mostly be legally entitled to a lease extension; however It would be wise to check with a lawyer to confirm your eligibility. In certain situations you may not be entitled. There are prescribed timetables and procedures to comply with once the process is triggered so it’s best to be guided by a conveyancer during the process.
It is conventional wisdom that a residential leasehold with more than 100 years remaining is worth roughly the same as a freehold. Where an further 90 years added to any lease with more than 45 years remaining, the residence will be worth the same as a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower. |
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Chelsea Building Society | 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower. |
| Godiva Mortgages | 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. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
Lease extensions in Marazion can be a difficult process. We recommend you obtain professional help from a conveyancer and surveyor with experience in lease extensions.
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 Marazion lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
In recent months Arthur, came perilously near to the eighty-year mark with the lease on his first floor flat in Marazion. In buying his home twenty years previously, the lease term was of little importance. by good luck, he realised he needed to take action soon on Extending the lease. Arthur arranged for a lease extension just ahead of time in April. Arthur and the freeholder via the managing agents eventually settled on a premium of £5,000 . If he failed to meet the deadline, the sum would have gone up by a minimum £975.
In 2011 we were phoned by Mr Callum Morel who, having acquired a first floor flat in Marazion in September 2008. We are asked if we could shed any light on how much (approximately) premium would likely be for a ninety year extension to my lease. Similar properties in Marazion with an extended lease were worth £270,000. The average amount of ground rent was £55 billed monthly. The lease termination date was on 2 June 2100. Taking into account 75 years unexpired we calculated the compensation to the freeholder for the lease extension to be within £9,500 and £11,000 not including expenses.
Last Summer we were called by Mr and Mrs. M Alexander , who moved into a recently refurbished apartment in Marazion in October 1999. The dilemma was if we could shed any light on how much (roughly) premium could be for a 90 year extension to my lease. Comparative properties in Marazion with 100 year plus lease were in the region of £168,800. The average amount of ground rent was £60 collected annually. The lease elapsed on 20 January 2080. Considering the 55 years unexpired we estimated the compensation to the landlord to extend the lease to be between £31,400 and £36,200 plus professional charges.