Market Deeping leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of the lease gets more expensive. Legislation has been in place for sometime now which permits qualifying Market Deeping residential leaseholders to extend the terms of long leases. Where you are a leasehold owner in Market Deeping you must see if your lease has between seventy and ninety years remaining. In particular once the remaining lease term slips under 80 years, the premium due on any lease extension sharply increases as part of the premium you will incur is what is known as a marriage value
Leasehold properties in Market Deeping with more than one hundred years left on the lease are often referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such circumstances there is often little to be gained by buying the reversionary interest unless savings on ground rent and maintenance charges merit it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Chelsea Building Society | |
| National Westminster Bank | |
| The Mortgage Works | |
| Royal Bank of Scotland |
Retaining our service gives you increased control over the value of your Market Deeping leasehold, as your property will be more valuable and marketable in respect of lease length should you decide to sell. The conveyancers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
Lucas was the the leasehold proprietor of a studio apartment in Market Deeping on the market with a lease of a few days over 72 years left. Lucas informally contacted his freeholder being a well known London-based freehold company for a lease extension. The landlord was prepared to agree an extension on non-statutory terms taking the lease to 125 years subject to a new rent at the outset set at £150 per annum and doubled every 25 years thereafter. No ground rent would be due on a lease extension were Lucas to invoke his statutory right. Lucas procured expert legal guidance and was able to make an informed judgement and deal with the matter and ending up with a market value flat.
Mr and Mrs. B Robinson acquired a basement flat in Market Deeping in November 1996. The question was if we could shed any light on how much (roughly) compensation to the landlord would likely be for a ninety year extension to my lease. Identical properties in Market Deeping with a long lease were in the region of £295,000. The average amount of ground rent was £45 collected yearly. The lease finished on 9 January 2101. Taking into account 75 years outstanding we calculated the premium to the landlord for the lease extension to be within £8,600 and £9,800 plus expenses.
Last month we were phoned by Dr R González , who took over the lease of a first floor apartment in Market Deeping in August 1998. We are asked if we could estimate the premium would be for a ninety year extension to my lease. Identical homes in Market Deeping with 100 year plus lease were worth £250,400. The mid-range ground rent payable was £65 invoiced every twelve months. The lease terminated on 6 September 2090. Taking into account 64 years as a residual term we approximated the compensation to the landlord for the lease extension to be within £19,000 and £22,000 plus costs.