Whitnash leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of the lease gets more expensive. It is the case that most Whitnash tenants have the right to extend their lease by an additional 90 years by virtue of the 1993 Leasehold Reform Act. If you are a leasehold owner in Whitnash you must investigate if your lease has between seventy and 90 years remaining. In particular once the remaining lease term slips under eighty years, the amount payable for any lease extension sharply increases as an element of the premium you will incur is what is known as a marriage value
It is generally accepted that a property with over 100 years unexpired lease term is worth roughly the same as a freehold. Where an additional ninety years added to any lease with more than 35 years left, the premises will be equivalent in value to a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Barclays plc | |
| Santander | |
| Skipton Building Society | |
| TSB |
Lease extensions in Whitnash can be a difficult process. We recommend you secure professional help from a conveyancer and valuer 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 Whitnash lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Gabriel was the the leasehold proprietor of a high value flat in Whitnash being marketed with a lease of just over 61 years unexpired. Gabriel on an informal basis spoke with his landlord a well known local-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to extend the lease to 125 years subject to a new rent initially set at £100 per annum and doubled every twenty five years thereafter. No ground rent would be due on a lease extension were Gabriel to exercise his statutory right. Gabriel obtained expert advice and secured an acceptable deal informally and ending up with a market value flat.
Mr and Mrs. F Mason was assigned a lease of a studio flat in Whitnash in June 2000. The dilemma was if we could approximate the premium could be to extend the lease by 90 years. Similar flats in Whitnash with an extended lease were worth £213,600. The average amount of ground rent was £60 billed per annum. The lease lapsed in 2083. Considering the 57 years unexpired we estimated the premium to the freeholder for the lease extension to be within £30,400 and £35,200 plus legals.
Mrs Kate Green purchased a first floor flat in Whitnash in September 2005. The question was if we could estimate the compensation to the landlord would likely be for a 90 year extension to my lease. Comparable premises in Whitnash with 100 year plus lease were in the region of £200,000. The mid-range ground rent payable was £50 billed monthly. The lease ran out on 26 July 2103. Given that there were 77 years as a residual term we calculated the compensation to the freeholder to extend the lease to be between £8,600 and £9,800 not including costs.