It’s an underpublicised truth that a Tadley residential lease is a wasting asset. As the lease term reduces so does the value of the property. The extent of this is taken for granted in the first few years due to the reduction being disguised by increases in the Tadley property prices.Where your lease has approximately ninety years left, you need to start thinking about a lease extension. If the number of years remaining slips below 80 years, you will then be required to pay half of the property's 'marriage value' in addition to the usual cost of the lease extension to the landlord. Marriage value is the amount of additional value that a lease extension will add the property The majority of leasehold owners in Tadley will be able to extend under the legislation; however a conveyancer should be able to confirm whether you are eligibility. In some situations you may not be entitled. There are also strict deadlines and procedures to be adhered to once the process has commenced and you will need to be guided by your conveyancer throughout the formalities.
It is generally considered that a residential leasehold with over 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the property will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Birmingham Midshires | |
| Godiva Mortgages | |
| Leeds Building Society | |
| Nationwide Building Society |
The conveyancers that we work with undertake Tadley lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancing solicitor we work with provide it.
After protracted correspondence with the freeholder of her one bedroom apartment in Tadley, Abigail initiated the lease extension process as the eighty year deadline was fast coming. The transaction completed in May 2012. The landlord’s charges were negotiated to below four hundred GBP.
Mr and Mrs. W Lefebvre completed a first floor apartment in Tadley in January 2005. The question was if we could approximate the price could be to prolong the lease by an additional years. Similar premises in Tadley with an extended lease were valued around £166,400. The mid-range amount of ground rent was £60 billed monthly. The lease elapsed in 2080. Taking into account 54 years as a residual term we approximated the premium to the landlord for the lease extension to be within £32,300 and £37,400 plus costs.
Last Christmas we were phoned by Dr Aaron Jones , who took over the lease of a basement flat in Tadley in March 1996. The question was if we could estimate the premium would be for a ninety year extension to my lease. Similar premises in Tadley with a long lease were in the region of £227,800. The mid-range ground rent payable was £45 invoiced annually. The lease expiry date was in 2091. Considering the 65 years outstanding we calculated the compensation to the freeholder to extend the lease to be between £13,300 and £15,400 plus expenses.