When it comes to domestic leasehold premises in Thornaby on Tees, you effectively rent it for a certain amount of time. Modern flat leases are usually granted for 99 years or 125. Many leasehold owners are unconcerned as this seems like a lengthy period of time, you should consider a lease extension sooner rather than later. The general rule is that the shorter the lease is the cost of extending the lease becomes disproportionately more expensive particularly when there are less than eighty years remaining. Anyone in Thornaby on Tees with a lease nearing 81 years left should seriously think of extending it without delay. Once the lease term has below eighty years outstanding, under the relevant statute the landlord is entitled to calculate and charge a greater amount, based on a technical computation, strangely termed as “marriage value” which is due.
It is generally considered that a residential leasehold with over 100 years remaining is worth approximately the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the premises will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | |
| Godiva Mortgages | |
| Santander | |
| Royal Bank of Scotland | |
| Virgin |
Lease extensions in Thornaby on Tees can be a difficult process. We recommend you secure guidance from a conveyancing solicitor 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 procuring Thornaby on Tees lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Nathan owned a studio flat in Thornaby on Tees being sold with a lease of a little over 59 years left. Nathan informally contacted his freeholder a well known Manchester-based freehold company for a lease extension. The freeholder was prepared to grant an extension on non-statutory terms taking the lease to 125 years on the basis of an increased rent to £100 per annum. Ordinarily, ground rent would not be due on a lease extension were Nathan to invoke his statutory right. Nathan obtained expert advice and secured an acceptable deal without going to tribunal and ending up with a market value flat.
Last month we were contacted by Mr and Mrs. R Cooper , who completed a purpose-built apartment in Thornaby on Tees in July 1998. The question was if we could approximate the compensation to the landlord would likely be for a 90 year lease extension. Comparable properties in Thornaby on Tees with 100 year plus lease were in the region of £295,000. The mid-range amount of ground rent was £45 billed per annum. The lease expired on 18 March 2100. Considering the 74 years as a residual term we approximated the compensation to the landlord for the lease extension to be within £9,500 and £11,000 plus costs.
Last Autumn we were approach by Mr Ali Kelly , who bought a garden flat in Thornaby on Tees in February 1997. The question was if we could estimate the price could be to extend the lease by 90 years. Identical premises in Thornaby on Tees with 100 year plus lease were valued around £243,000. The average amount of ground rent was £65 invoiced monthly. The lease came to a finish on 14 October 2089. Having 63 years unexpired we calculated the premium to the freeholder for the lease extension to be within £20,000 and £23,000 plus expenses.