Unfortunately that a Market Deeping residential lease is a deteriorating asset. The lease value reduces in proportion to its lease length. The extent of this is not fully appreciated in the first few years due to the loss of value being disguised by increases in the Market Deeping property prices.Where your lease has approximately 90 years left, 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 falls below eighty years - otherwise a higher amount will be payable. The majority of flat owners in Market Deeping will be able to extend under the legislation; however a conveyancing solicitor will be able to confirm if you are eligibility. In some cases you may not be entitled. There are also strict deadlines and procedures to follow once the process has commenced and you will need to be guided by your conveyancer throughout the formalities.
It is conventional wisdom that a residential leasehold with in excess of one hundred years remaining is worth roughly the same as a freehold. Where an additional 90 years added to any lease with more than 45 years remaining, the residence will be equivalent in value to a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Nationwide Building Society | |
| Skipton Building Society | |
| The Mortgage Works | |
| Royal Bank of Scotland | |
| Yorkshire Building Society |
Irrespective of whether you are a tenant or a freeholder in Market Deeping,the lease extension solicitors that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Market Deeping valuers.
Riley owned a 2 bedroom apartment in Market Deeping being marketed with a lease of fraction over 61 years remaining. Riley on an informal basis approached his landlord being a well known London-based freehold company and enquired on a premium to extend the lease. The landlord was keen to give an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent to start with set at £100 per annum and increase every 25 years thereafter. No ground rent would be due on a lease extension were Riley to invoke his statutory right. Riley obtained expert legal guidance and secured satisfactory deal without going to tribunal and readily saleable.
Mr and Mrs. U Brooks took over the lease of a purpose-built apartment in Market Deeping in October 2010. We are asked if we could estimate the premium would likely be for a 90 year extension to my lease. Comparative flats in Market Deeping with a long lease were in the region of £243,000. The average ground rent payable was £65 collected per annum. The lease lapsed on 3 November 2089. Taking into account 63 years unexpired we calculated the premium to the freeholder to extend the lease to be within £20,000 and £23,000 exclusive of legals.
In 2009 we were called by Mr and Mrs. T Lee who, having was assigned a lease of a studio apartment in Market Deeping in July 2000. We are asked if we could shed any light on how much (approximately) price would likely be to prolong the lease by a further 90 years. Identical homes in Market Deeping with an extended lease were valued around £181,600. The average amount of ground rent was £55 billed every twelve months. The lease concluded on 20 October 2078. Taking into account 52 years remaining we calculated the compensation to the landlord for the lease extension to be between £30,400 and £35,200 exclusive of fees.