Yarm leases on domestic deteriorating in value. Where your lease has in the region of 90 years remaining, you should start considering the need for a lease extension. If lease term is under 80 years, you will then have to pay half of the property's 'marriage value' in addition to the usual cost of the lease extension to your landlord. Marriage value is the amount of extra value that a lease extension will add to the property. Leasehold owners in Yarm will mostly qualify for a lease extension; however a solicitor will check if you qualify. In certain situations you may not be entitled. There are also strict deadlines and procedures to comply with once the process has commenced so it’s sensible to be guided by a conveyancer during the process.
It is conventional wisdom that a residential leasehold with over 100 years remaining is worth approximately the same as a freehold. Where an additional 90 years added to any lease with more than 45 years remaining, the premises will be worth the same as a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Barclays plc | |
| Birmingham Midshires | |
| Godiva Mortgages | |
| The Mortgage Works | |
| Yorkshire Building Society |
Retaining our service gives you enhanced control over the value of your Yarm leasehold, as your property will be more valuable and marketable in relation to the lease length should you want to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
Following unsuccessful discussions with the freeholder of her one bedroom apartment in Yarm, Daisy commenced the lease extension process as the eighty year mark was rapidly approaching. The transaction was finalised in September 2011. The freeholder’s charges were kept to an absolute minimum.
Last month we were e-mailed by Mr L Cox , who bought a first floor apartment in Yarm in April 2011. The question was if we could shed any light on how much (roughly) compensation to the landlord would be to extend the lease by 90 years. Similar residencies in Yarm with 100 year plus lease were valued around £300,000. The average ground rent payable was £50 billed quarterly. The lease terminated on 18 October 2102. Having 76 years outstanding we calculated the compensation to the freeholder to extend the lease to be between £8,600 and £9,800 not including expenses.
Dr A Williams acquired a one bedroom flat in Yarm in November 2009. We are asked if we could shed any light on how much (roughly) price could be for a ninety year extension to my lease. Comparative premises in Yarm with an extended lease were valued around £257,800. The average ground rent payable was £65 billed every twelve months. The lease concluded on 21 August 2091. Having 65 years left we calculated the premium to the freeholder for the lease extension to be within £18,100 and £20,800 plus professional charges.