There is no doubt about it a leasehold property in Melling is a wasting asset as a result of the shortening lease. Where the residual term has, beyond 100 years remaining then this decrease may be fractional that being said there will become a stage when a lease has fewer than 80 years left as part of the premium you will incur is what is termed as a marriage value. This could be significant. It is the main logic behind why you should extend the lease without delay. The majority of flat owners in Melling will meet the qualifying criteria; however a conveyancer can confirm if you qualify to extend your lease. In certain situations you may not qualify, the most common reason being that you have not been the owner of the property for two years.
It is conventional wisdom that a property with in excess of one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an further ninety years added to all but the shortest lease, the property will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Coventry Building Society | |
| National Westminster Bank | |
| Santander | |
| Skipton Building Society | |
| The Mortgage Works |
Using our service will provide you enhanced control over the value of your Melling leasehold, as your property will be more valuable and marketable in terms of lease length should you wish to sell. The lawyers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
Austin was the the leasehold proprietor of a conversion apartment in Melling being marketed with a lease of a little over 61 years left. Austin informally approached his landlord being a well known London-based freehold company for a lease extension. The freeholder indicated a willingness to extend the lease to 125 years on the basis of a new rent initially set at £150 per annum and increase every 25 years thereafter. No ground rent would be payable on a lease extension were Austin to exercise his statutory right. Austin procured expert legal guidance and secured an acceptable deal informally and readily saleable.
Mrs Stephanie Martin acquired a studio flat in Melling in June 2004. The dilemma was if we could shed any light on how much (roughly) premium would be to prolong the lease by 90 years. Similar flats in Melling with an extended lease were in the region of £250,000. The average amount of ground rent was £50 billed every twelve months. The lease ended on 14 June 2094. Taking into account 68 years unexpired we approximated the premium to the freeholder to extend the lease to be between £9,500 and £11,000 exclusive of fees.
Mr and Mrs. C Morris was assigned a lease of a basement apartment in Melling in February 1997. The question was if we could estimate the premium could be for a 90 year lease extension. Similar premises in Melling with an extended lease were in the region of £285,000. The mid-range ground rent payable was £55 invoiced yearly. The lease terminated on 15 March 2105. Considering the 79 years remaining we calculated the compensation to the landlord for the lease extension to be between £13,300 and £15,400 plus expenses.