Main reasons to start your Markyate lease extension

Main reasons to start your Markyate lease extension today:

A Markyate lease depreciates with the years remaining on the lease.

It’s a harsh truth that a Markyate residential lease is a deteriorating asset. As the lease term reduces so does the value of the property. The extent of this is not fully appreciated in the first few years due to the depreciation being disguised by increases in the Markyate property market.Where your lease has approximately 90 years left, you need to start considering a lease extension. If the number of years remaining falls below 80 years, you will end up paying 50% of the property's 'marriage value' in addition to the usual cost of the lease extension to the landlord. The marriage fee is the amount of extra value that a lease extension will add the property Most flat owners in Markyate will be able to extend under the legislation; however a lawyer should be able to confirm if you qualify for an extension. In some cases you may not be entitled. There are also strict timeframes and procedures to be adhered to once the process is initiated and you will need to be guided by your conveyancing solicitor from beginning to end of the process.

An extended lease has roughly the same value as a freehold

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 all but the shortest lease, the property will be worth the same as a freehold for decades to come.

Lending institutions will not lend with a short lease

Banks and building societies are making their criteria more stringent and a meaningful number now want flats to have a minimum of sixty if not seventy years remaining at the expiry of the mortgage. As many flats in Markyate were built in the fifties, sixties and seventies this means many now require lease extensions if they wish to get a mortgage.

Get in touch with one of our Markyate lease extension solicitors or enfranchisement solicitors

Regardless of whether you are a tenant or a landlord in Markyate,the lease extension experts 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 Markyate valuers.

Markyate Lease Extension Example Cases:

Georgina, Markyate, Hertfordshire,

Following lengthy discussions with the landlord of her leasehold flat in Markyate, Georgina started the lease extension process as the eighty year mark was rapidly advancing. The legal work was concluded in March 2011. The freeholder’s charges were kept to an absolute minimum.

Markyate case:

In 2012 we were approached by Dr Hunter Sánchez who, having took over the lease of a one bedroom apartment in Markyate in July 2004. The question was if we could shed any light on how much (approximately) premium could be for a ninety year extension to my lease. Comparable residencies in Markyate with a long lease were valued around £206,200. The average amount of ground rent was £60 collected every twelve months. The lease came to a finish on 4 February 2082. Taking into account 56 years outstanding we calculated the compensation to the freeholder for the lease extension to be between £32,300 and £37,400 exclusive of legals.

Markyate case:

In 2014 we were contacted by Mr and Mrs. R Jones who, having acquired a one bedroom apartment in Markyate in March 2002. We are asked if we could estimate the price would likely be for a ninety year extension to my lease. Comparable properties in Markyate with a long lease were worth £300,000. The mid-range amount of ground rent was £50 collected annually. The lease ran out in 2102. Considering the 76 years remaining we calculated the compensation to the landlord to extend the lease to be between £8,600 and £9,800 exclusive of legals.