Plasmarl leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of the lease becomes more expensive. The majority of owners of residential leasehold property in Plasmarl enjoy rights under legislation to extend the terms of their leases. If you are a leasehold owner in Plasmarl you really ought to investigate if your lease has between seventy and 90 years left. In particular once the remaining lease term slips under eighty years, the compensation to the landlord for any lease extension sharply increases as an element of the premium you pay is what is known as a marriage value
It is generally considered that a residential leasehold with more than 100 years remaining is worth roughly the same as a freehold. Where an further 90 years added to any lease with more than 45 years remaining, the residence will be equivalent in value to 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Lease extensions in Plasmarl can be a difficult process. We recommend you secure guidance from a lawyer and valuer well versed in the legislation and lease extension process.
We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have in-depth market knowledge procuring Plasmarl lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Evan owned a high value flat in Plasmarl being marketed with a lease of a few days over 72 years outstanding. Evan on an informal basis contacted his landlord being a well known local-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to grant an extension taking the lease to 125 years subject to an increased rent to £125 per annum. Ordinarily, ground rent would not be due on a lease extension were Evan to exercise his statutory right. Evan procured expert advice and secured satisfactory resolution informally and readily saleable.
Last August we were approach by Mr and Mrs. K Khan , who moved into a one bedroom apartment in Plasmarl in April 2008. The question was if we could estimate the premium could be to prolong the lease by a further 90 years. Comparative flats in Plasmarl with 100 year plus lease were in the region of £230,800. The mid-range ground rent payable was £60 billed quarterly. The lease finished in 2086. Given that there were 60 years remaining we calculated the premium to the freeholder for the lease extension to be within £24,700 and £28,600 plus professional charges.
Last year we were approach by Ms S Martin , who purchased a studio flat in Plasmarl in September 2003. We are asked if we could shed any light on how much (approximately) premium would be for a ninety year lease extension. Similar properties in Plasmarl with an extended lease were worth £210,000. The average ground rent payable was £50 invoiced per annum. The lease elapsed in 2106. Having 80 years left we calculated the premium to the landlord to extend the lease to be within £8,600 and £9,800 exclusive of professional charges.