As the the remaining lease term of a Wheathampstead domestic lease diminished so does its value and therefore the value of your property. Where the lease has, more than one hundred years remaining then this decrease may be of little impact however there will become a stage when a lease has under than 80 years unexpired as part of the premium you will incur is what is termed as a marriage value. This could be significant. It is the primary rational as to why you should consider extending without delay. The majority of flat owners in Wheathampstead will meet the qualifying criteria; nevertheless a lawyer will be able to confirm whether you qualify for a lease extension. In certain situations you may not qualify, the most common reason being that you have owned the property for under two years.
It is generally considered that a residential leasehold with over 100 years remaining is worth roughly the same as a freehold. Where an additional 90 years added to any lease with more than 35 years unexpired, the premises will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Barclays plc | |
| Birmingham Midshires | |
| Chelsea Building Society | |
| Halifax | |
| Nationwide Building Society |
Engaging our service gives you better control over the value of your Wheathampstead leasehold, as your property will be more valuable and saleable in respect of lease length should you wish to sell. The lawyers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
In recent months Tommy, came seriously close to the 80-year threshold with the lease on his studio apartment in Wheathampstead. In buying his home two decades ago, the lease term was of minimal concern. Luckily, he became aware that he would imminently be paying an escalated premium for a lease extension. Tommy arranged for a lease extension just under the wire last July. Tommy and the landlord who owned the flat above eventually agreed on a premium of £5,000 . If he failed to meet the deadline, the premium would have escalated by at least £875.
In 2011 we were e-mailed by Mr and Mrs. H Leroy who, having took over the lease of a basement flat in Wheathampstead in October 1995. We are asked if we could shed any light on how much (approximately) premium could be to prolong the lease by 90 years. Identical premises in Wheathampstead with a long lease were in the region of £205,000. The average amount of ground rent was £50 collected per annum. The lease ended on 18 April 2105. Considering the 79 years unexpired we calculated the premium to the freeholder for the lease extension to be within £8,600 and £9,800 plus expenses.
Last September we were contacted by Mrs Rosie Norbert , who acquired a purpose-built flat in Wheathampstead in November 2006. The dilemma was if we could estimate the compensation to the landlord would be for a ninety year extension to my lease. Comparative premises in Wheathampstead with a long lease were in the region of £275,000. The mid-range ground rent payable was £65 collected per annum. The lease termination date was in 2094. Given that there were 68 years as a residual term we approximated the premium to the landlord for the lease extension to be within £12,400 and £14,200 exclusive of expenses.