Northam leases on domestic deteriorating in value. Where your lease has about 90 years left, you should start thinking about a lease extension. Eighty years is a significant number: when the unexpired term of a lease falls below this level then you begin incurring an additional element called marriage value. Flat owners in Northam will mostly be legally entitled to a lease extension; however It would be wise to check with a conveyancer to check if you qualify. In some circumstances you may not be entitled. There are prescribed timetables and formalities to follow once the process is triggered so it’s prudent to be guided by a conveyancing solicitor during the process.
It is generally considered that a property with more than one hundred years unexpired lease term is worth roughly the equivalent as a freehold. Where an further ninety years added to any lease with more than 45 years left, the property will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Godiva Mortgages | |
| Halifax | |
| National Westminster Bank | |
| Nationwide Building Society |
Retaining our service will provide you enhanced control over the value of your Northam leasehold, as your property will be more valuable and marketable in relation to the lease length should you want to sell. The conveyancing solicitors that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
After lengthy discussions with the freeholder of her two bedroom apartment in Northam, Zoe initiated the lease extension process as the 80 year threshold was fast nearing. The transaction was finalised in November 2006. The freeholder’s charges were negotiated to less than 450 pounds.
In 2014 we were contacted by Ms P King who, having took over the lease of a one bedroom apartment in Northam in April 2000. The dilemma was if we could approximate the price would be to extend the lease by a further 90 years. Similar homes in Northam with an extended lease were worth £250,000. The mid-range amount of ground rent was £50 billed quarterly. The lease ended on 23 July 2095. Given that there were 69 years as a residual term we calculated the compensation to the landlord for the lease extension to be within £9,500 and £11,000 plus legals.
Last Christmas we were contacted by Mr Teddy Martinez , who completed a basement flat in Northam in January 2004. We are asked if we could shed any light on how much (roughly) compensation to the landlord could be for a ninety year lease extension. Comparable properties in Northam with a long lease were in the region of £290,000. The mid-range amount of ground rent was £55 invoiced yearly. The lease concluded in 2106. Given that there were 80 years left we approximated the compensation to the landlord to extend the lease to be between £12,400 and £14,200 exclusive of professional charges.