Newbiggin By The Sea leases on domestic properties are gradually losing value. if your lease has approximately ninety years unexpired, you should start considering the need for a lease extension. If lease term dips under 80 years, you will then have to pay 50% of the property's 'marriage value' on top of the standard cost of the lease extension to your landlord. Marriage value is the amount of additional value that a lease extension will add to the property. Leasehold owners in Newbiggin By The Sea will mostly qualify for a lease extension; however a solicitor should be able confirm your eligibility. In some circumstances you may not be entitled. There are prescribed deadlines and formalities to comply with once the process has started so it’s best to be guided by a conveyancer during the process.
It is generally accepted that a residential leasehold with more than 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 equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Barclays plc | |
| Godiva Mortgages | |
| Leeds Building Society | |
| Nationwide Building Society | |
| Santander |
Irrespective of whether you are a tenant or a freeholder in Newbiggin By The Sea,the lease extension lawyers 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 Newbiggin By The Sea valuers.
In the wake of eight months of unsuccessful correspondence with the landlord of her leasehold apartment in Newbiggin By The Sea, Alice started the lease extension process just as the lease was coming close to the all-important 80-year mark. The lease extension was concluded in September 2006. The freeholder’s costs were kept to an absolute minimum.
Last June we were contacted by Mr and Mrs. D Clarke , who purchased a studio flat in Newbiggin By The Sea in August 2006. The dilemma was if we could approximate the compensation to the landlord could be to prolong the lease by 90 years. Similar premises in Newbiggin By The Sea with an extended lease were in the region of £186,000. The average amount of ground rent was £65 billed every twelve months. The lease lapsed on 5 April 2084. Considering the 58 years unexpired we approximated the premium to the landlord for the lease extension to be within £24,700 and £28,600 not including legals.
Last September we were e-mailed by Mr and Mrs. Y Sharif , who took over the lease of a newly refurbished apartment in Newbiggin By The Sea in April 1997. The question was if we could approximate the premium would likely be for a ninety year extension to my lease. Similar flats in Newbiggin By The Sea with 100 year plus lease were valued about £250,000. The average ground rent payable was £50 invoiced monthly. The lease elapsed in 2095. Considering the 69 years remaining we estimated the compensation to the landlord to extend the lease to be between £9,500 and £11,000 plus legals.