Whickham leases on residential deteriorating in value. Where your lease has about ninety years unexpired, you should start thinking about a lease extension. 80 years is a significant number: when the unexpired term of a lease dips below this level then you begin paying an additional element called marriage value. Leasehold owners in Whickham will mostly qualify for a lease extension; however It would be wise to check with a conveyancer to check if you qualify. In certain situations you may not be entitled. There are prescribed deadlines and procedures to comply with once the process is initiated so it’s prudent to be guided by a conveyancing solicitor during the process.
Leasehold residencies in Whickham with over one hundred years unexpired on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such situations there is often little upside in buying the freehold unless savings on ground rent and estate charges merit it.
| Lender | Requirement |
|---|---|
| Chelsea Building Society | |
| Nationwide Building Society | |
| The Mortgage Works | |
| Royal Bank of Scotland | |
| Yorkshire Building Society |
The conveyancers that we work with handle Whickham 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.
18 months ago Jason, started to get near to the 80-year mark with the lease on his basement apartment in Whickham. Having purchased his property 18 years ago, the unexpired term was of little importance. Luckily, he noticed he needed to take action soon on Extending the lease. Jason extended the lease at the eleventh hour in August. Jason and the landlord who owned the flat above eventually settled on a premium of £6,000 . If he had missed the deadline, the amount would have gone up by at least £900.
Mr and Mrs. J Edwards owned a basement apartment in Whickham in June 2010. The dilemma was if we could estimate the price would likely be to prolong the lease by 90 years. Identical flats in Whickham with a long lease were worth £243,000. The average amount of ground rent was £65 billed quarterly. The lease elapsed in 2089. Having 63 years as a residual term we estimated the premium to the freeholder to extend the lease to be within £20,000 and £23,000 plus professional charges.
Dr Freya Martin bought a one bedroom flat in Whickham in January 2002. We are asked if we could estimate the price could be to prolong the lease by ninety years. Identical homes in Whickham with a long lease were valued about £181,600. The average amount of ground rent was £55 collected per annum. The lease end date was in 2078. Taking into account 52 years outstanding we approximated the compensation to the freeholder to extend the lease to be within £30,400 and £35,200 exclusive of professional charges.