As the length of the unexpired term of a Saltash residential lease lessens so does its value and therefore the value of your property. Where the residual term has, in excess of 99 years to run then this decrease may be fractional nevertheless there will become a stage when a lease has fewer than 80 years remaining as part of the premium you will incur is what is termed as a marriage value. This could increase sharply the cost. It is the primary rational as to why you should extend the lease sooner as opposed to later. The majority of flat owners in Saltash will qualify for this right; however a lawyer can confirm if you are eligible to extend your lease. In certain situations you may not qualify, the most common reason being that you have owned the property for under two years.
Leasehold properties in Saltash with in excess of 100 years outstanding on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such circumstances there is often little to be gained by purchasing the freehold unless savings on ground rent and estate charges justify it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Barnsley Building Society | |
| Chelsea Building Society | |
| Nationwide Building Society | |
| Skipton Building Society |
Lease extensions in Saltash can be a difficult process. We recommend you get guidance from a conveyancer and surveyor 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 dealing with Saltash lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Last Summer Archie, started to get near to the 80-year mark with the lease on his studio flat in Saltash. Having bought his home twenty years ago, the length of the lease was of little bearing. Luckily, he recognised he needed to take steps soon on Extending the lease. Archie extended the lease just under the wire in March. Archie and the freeholder eventually agreed on a premium of £5,500 . If the lease had fallen to less than 80 years, the price would have escalated by a minimum £1,125.
In 2013 we were phoned by Ms W Vincent who, having was assigned a lease of a studio flat in Saltash in May 1995. The question was if we could estimate the compensation to the landlord could be to extend the lease by a further 90 years. Identical residencies in Saltash with an extended lease were worth £267,600. The mid-range amount of ground rent was £65 collected per annum. The lease end date was on 20 September 2093. Considering the 67 years remaining we estimated the compensation to the freeholder for the lease extension to be between £14,300 and £16,400 exclusive of costs.
Last Winter we were phoned by Mr and Mrs. S Reed , who was assigned a lease of a one bedroom flat in Saltash in May 2008. We are asked if we could estimate the compensation to the landlord would likely be for a ninety year extension to my lease. Identical flats in Saltash with 100 year plus lease were in the region of £201,200. The mid-range amount of ground rent was £55 invoiced monthly. The lease termination date was in 2082. Considering the 56 years remaining we approximated the compensation to the freeholder to extend the lease to be between £31,400 and £36,200 not including legals.