The nearer a residential lease in St Mellons nears to zero years unexpired, the the greater the reduction in the value of the property. If the residual term has, more than 125 years remaining then this decrease may be of little impact nevertheless there will become a point in time when a lease has under than eighty years remaining as part of the premium you will incur is what is known as a marriage value. This could be significant. It is the main reason why you should consider extending without delay. The majority of flat owners in St Mellons will qualify for this right; however a lawyer will be able to confirm whether you are eligible for a lease extension. In certain situations you may not qualify, the most common reason being that you have not been the owner of the property for two years.
It is conventional wisdom that a residential leasehold with more than one hundred years remaining is worth roughly the same as a freehold. Where an additional 90 years added to all but the shortest lease, the property will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Coventry Building Society | |
| National Westminster Bank | |
| Nationwide Building Society | |
| Skipton Building Society |
Retaining our service gives you better control over the value of your St Mellons leasehold, as your property will be more valuable and marketable in relation to the lease length should you decide to sell. The lawyers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
Harvey owned a high value apartment in St Mellons being sold with a lease of a few days over 72 years unexpired. Harvey informally approached his landlord a well known London-based freehold company and enquired on a premium to extend the lease. The freeholder was keen to grant an extension on non-statutory terms taking the lease to 125 years on the basis of an increased rent to £50 yearly. Ordinarily, ground rent would not be payable on a lease extension were Harvey to exercise his statutory right. Harvey procured expert legal guidance and secured an acceptable deal informally and ending up with a market value flat.
Last year we were called by Mr and Mrs. D Morris , who owned a basement apartment in St Mellons in August 2009. We are asked if we could estimate the premium would be to prolong the lease by ninety years. Comparable premises in St Mellons with a long lease were valued about £166,400. The average ground rent payable was £60 collected per annum. The lease concluded on 13 June 2080. Given that there were 54 years left we approximated the premium to the freeholder for the lease extension to be between £32,300 and £37,400 plus fees.
Mr I Mitchell owned a one bedroom flat in St Mellons in April 1996. We are asked if we could approximate the compensation to the landlord would be to prolong the lease by an additional years. Comparative residencies in St Mellons with a long lease were valued about £227,800. The mid-range amount of ground rent was £45 invoiced yearly. The lease terminated in 2091. Given that there were 65 years unexpired we calculated the compensation to the landlord for the lease extension to be between £13,300 and £15,400 plus professional charges.