When it comes to long leasehold premises in Tetbury, you are actually buying a right to live in a property for a set period of time. These days flat leases typically tend to be for 99 years or 125. Many leasehold owners become complacent as this seems like a lengthy period of time, you should consider a lease extension sooner as opposed to later. Accepted thinking is that the shorter the number of years is the cost of extending the lease becomes disproportionately more expensive particularly once there are fewer than 80 years remaining. Residents in Tetbury with a lease nearing 81 years unexpired should seriously consider extending it sooner rather than later. When the lease term has below eighty years left, under the relevant legislation the landlord is entitled to calculate and levy a greater amount, assessed on a technical multiplication, known as “marriage value” which is payable.
It is generally accepted that a residential leasehold with over 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 unexpired, the residence will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Coventry Building Society | |
| Godiva Mortgages | |
| Nationwide Building Society | |
| Skipton Building Society | |
| The Mortgage Works |
Using our service gives you better control over the value of your Tetbury 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 wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
Ben owned a conversion apartment in Tetbury on the market with a lease of fraction over sixty years outstanding. Ben informally contacted his landlord a well known local-based freehold company for a lease extension. The freeholder indicated a willingness to grant an extension taking the lease to 125 years subject to a new rent initially set at £200 per annum and doubled every twenty five years thereafter. No ground rent would be due on a lease extension were Ben to invoke his statutory right. Ben obtained expert legal guidance and secured satisfactory deal without going to tribunal and readily saleable.
Last September we were contacted by Mr and Mrs. T Norbert , who moved into a one bedroom flat in Tetbury in May 1996. The question was if we could estimate the compensation to the landlord could be for a 90 year extension to my lease. Similar flats in Tetbury with a long lease were worth £260,000. The average ground rent payable was £50 invoiced every twelve months. The lease elapsed in 2098. Taking into account 72 years outstanding we calculated the premium to the freeholder for the lease extension to be between £9,500 and £11,000 exclusive of professional charges.
In 2012 we were e-mailed by Mr and Mrs. L Martínez who, having bought a newly refurbished apartment in Tetbury in May 1997. The question was if we could shed any light on how much (roughly) premium could be to extend the lease by a further 90 years. Similar flats in Tetbury with a long lease were valued about £256,600. The mid-range amount of ground rent was £60 billed yearly. The lease ended on 8 March 2078. Considering the 52 years left we estimated the compensation to the freeholder to extend the lease to be between £41,800 and £48,400 exclusive of expenses.