The nearer a residential lease in Morley gets to zero years unexpired, the the greater the reduction in the value of the property. Where the residual term has, over 100 years to run then this decrease may be of little impact nevertheless 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 main logic behind why you should consider extending without delay. The majority of flat owners in Morley will meet the qualifying criteria; nevertheless a conveyancer should be able to confirm if you are eligible to extend your lease. In limited situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.
Leasehold properties in Morley with over 100 years left on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little upside in buying the reversionary interest unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| Barclays plc | |
| Barnsley Building Society | |
| Halifax | |
| Virgin | |
| Yorkshire Building Society |
Regardless of whether you are a tenant or a landlord in Morley,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 in-depth market knowledge and the close ties they enjoy with Morley valuers.
In recent months John, started to get close to the 80-year threshold with the lease on his leasehold apartment in Morley. Having bought his flat 18 years previously, the lease term was of minimal significance. Thankfully, it dawned on him that he needed to take action soon on a lease extension. John extended the lease just under the wire in July. John and the freeholder in the end settled on an amount of £5,500 . If he not met the deadline, the sum would have become more exhorbitant by at least £950.
Last Summer we were called by Dr N Lefèvre , who bought a one bedroom flat in Morley in August 2010. 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 properties in Morley with 100 year plus lease were worth £166,400. The mid-range amount of ground rent was £60 invoiced annually. The lease elapsed in 2080. Given that there were 54 years as a residual term we estimated the compensation to the landlord to extend the lease to be between £32,300 and £37,400 plus legals.
Last Winter we were approach by Mr F Ali , who acquired a first floor flat in Morley in April 2004. The dilemma was if we could shed any light on how much (roughly) compensation to the landlord could be to prolong the lease by an additional years. Identical premises in Morley with an extended lease were valued around £227,800. The mid-range ground rent payable was £45 billed monthly. The lease finished in 2091. Considering the 65 years outstanding we calculated the compensation to the freeholder to extend the lease to be between £13,300 and £15,400 not including professional charges.