The closer a residential lease in Marske and Upleatham nears to zero years unexpired, the the greater the reduction in the value of the property. If the residual term has, more than 125 years to run then this decrease may be negligible however there will become a stage when a lease has under than 80 years remaining as part of the premium you will incur is what is known as a marriage value. This could be significant. It is the primary logic behind why you should extend the lease without delay. Many flat owners in Marske and Upleatham will qualify for this right; however a conveyancer should be able to confirm whether you are eligible for a lease extension. In certain situations you may not qualify, the most frequent reason being that you have owned the property for less than two years.
It is conventional wisdom that a residential leasehold with more than 100 years remaining is worth approximately the same as a freehold. Where an further 90 years added to all but the shortest lease, the residence will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| 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. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Regardless of whether you are a tenant or a landlord in Marske and Upleatham,the lease extension lawyers that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Marske and Upleatham valuers.
After unsuccessful correspondence with the freeholder of her purpose-built flat in Marske and Upleatham, Isabel commenced the lease extension process just as the lease was coming close to the critical eighty-year deadline. The transaction completed in July 2007. The landlord’s fees were restricted to a tad over 450 GBP.
In 2010 we were approached by Mr and Mrs. E Gunderson who, having was assigned a lease of a ground floor apartment in Marske and Upleatham in July 2011. We are asked if we could shed any light on how much (roughly) price would likely be to prolong the lease by an additional years. Identical flats in Marske and Upleatham with a long lease were valued about £210,000. The average amount of ground rent was £50 invoiced monthly. The lease finished on 1 April 2105. Having 80 years left we calculated the premium to the freeholder to extend the lease to be between £8,600 and £9,800 not including costs.
Last Summer we were approach by Mr and Mrs. H Martínez , who took over the lease of a basement flat in Marske and Upleatham in September 2011. The dilemma was if we could approximate the compensation to the landlord could be for a 90 year extension to my lease. Comparative homes in Marske and Upleatham with a long lease were valued about £280,000. The mid-range ground rent payable was £45 billed per annum. The lease terminated in 2094. Considering the 69 years remaining we calculated the premium to the freeholder to extend the lease to be within £12,400 and £14,200 plus costs.