Romsey leases on domestic deteriorating in value. Where your lease has about ninety years unexpired, you should start considering the need for a lease extension. If lease term falls under eighty years, you will then have to pay half of the property's 'marriage value' on top of the usual 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. Flat owners in Romsey will mostly qualify for a lease extension; however it’s a good idea to check with a conveyancing solicitor to confirm if you qualify. In some circumstances you may not be entitled. There are also strict timetables and procedures to follow once the process has commenced so it’s sensible to be guided by a lawyer during the process.
It is generally considered that a property with in excess of one hundred years unexpired lease term is worth roughly the same as a freehold. Where an additional ninety years added to all but the shortest lease, the residence will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | |
| Halifax | |
| Nationwide Building Society | |
| Skipton Building Society | |
| TSB |
Using our service gives you increased control over the value of your Romsey leasehold, as your property will be more valuable and marketable in terms of lease length should you want to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
Last Autumn Noah, came perilously close to the eighty-year mark with the lease on his ground floor flat in Romsey. Having purchased his home 18 years ago, the length of the lease was of little concern. Thankfully, it dawned on him that he needed to take steps soon on a lease extension. Noah arranged for a lease extension just under the wire last May. Noah and the freeholder eventually settled on the final figure of £5,500 . If the lease had dropped to less than 80 years, the price would have escalated by a minimum £1,050.
Last Spring we were approach by Mr R Hernández , who took over the lease of a newly refurbished flat in Romsey in June 2005. We are asked if we could approximate the premium would be for a ninety year extension to my lease. Similar residencies in Romsey with a long lease were valued around £285,000. The average ground rent payable was £55 billed yearly. The lease lapsed in 2105. Considering the 79 years outstanding we calculated the compensation to the freeholder to extend the lease to be between £13,300 and £15,400 plus professional charges.
In 2010 we were e-mailed by Dr W Girard who, having purchased a studio apartment in Romsey in August 1999. We are asked if we could estimate the compensation to the landlord would likely be for a 90 year lease extension. Comparative homes in Romsey with a long lease were valued about £193,400. The mid-range amount of ground rent was £65 collected every twelve months. The lease came to a finish on 12 March 2085. Considering the 59 years remaining we calculated the premium to the freeholder for the lease extension to be within £21,900 and £25,200 plus professional charges.