Thorpe Hesley leases on domestic properties are gradually losing value. Where your lease has in the region of ninety years left, you should start thinking about a lease extension. If lease term dips under 80 years, you will then be required to pay 50% 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 extra value that a lease extension will add to the property. Leasehold owners in Thorpe Hesley will mostly qualify for a lease extension; however a solicitor should be able confirm if you qualify. In certain circumstances you may not be entitled. There are also strict timetables and steps to comply with once the process is initiated so it’s prudent to be guided by a lawyer during the process.
Leasehold premises in Thorpe Hesley with in excess of 100 years unexpired on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such circumstances there is often little to be gained by buying the freehold unless savings on ground rent and service charges justify it.
| Lender | Requirement |
|---|---|
| Barclays plc | |
| Barnsley Building Society | |
| Godiva Mortgages | |
| Leeds Building Society | |
| Nationwide Building Society |
Regardless of whether you are a tenant or a freeholder in Thorpe Hesley,the lease extension lawyers that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Thorpe Hesley valuers.
Gabriel was the the leasehold owner of a studio flat in Thorpe Hesley being marketed with a lease of fraction over 72 years unexpired. Gabriel informally spoke with his landlord being a well known local-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to grant an extension taking the lease to 125 years on the basis of a rise in the rent to £125 per annum. No ground rent would be due on a lease extension were Gabriel to invoke his statutory right. Gabriel procured expert legal guidance and was able to make a more informed decision and handle with the matter and sell the property.
In 2012 we were approached by Ms E Petit who, having bought a newly refurbished flat in Thorpe Hesley in June 2011. The dilemma was if we could estimate the compensation to the landlord could be for a ninety year extension to my lease. Comparative premises in Thorpe Hesley with an extended lease were worth £290,000. The average amount of ground rent was £60 invoiced quarterly. The lease concluded on 1 June 2106. Taking into account 80 years unexpired we approximated the premium to the freeholder for the lease extension to be between £13,300 and £15,400 not including costs.
In 2013 we were approached by Mr and Mrs. A Moreau who, having completed a one bedroom flat in Thorpe Hesley in February 2005. The question was if we could approximate the price could be for a 90 year extension to my lease. Identical homes in Thorpe Hesley with a long lease were in the region of £200,800. The average ground rent payable was £65 collected annually. The lease ended in 2086. Considering the 60 years remaining we approximated the compensation to the landlord for the lease extension to be between £20,900 and £24,200 exclusive of fees.