It’s an underpublicised truth that a Carbis Bay residential lease is a deteriorating asset. As the lease term reduces so does the value of the property. The extent of this is taken for granted in the first few years due to the depreciation being disguised by increases in the Carbis Bay property prices.Once your lease gets to 85ish years, you should start thinking about a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease dips lower than eighty years - otherwise a higher premium will be payable. The majority of leasehold owners in Carbis Bay will be able to extend under the legislation; however a conveyancing solicitor should be able to confirm whether you are eligibility. In some situations you may not qualify. There are also strict timetables and procedures to follow once the process has commenced and you will need to be guided by your lawyer from beginning to end of the process.
It is generally considered that a residential leasehold with in excess of one hundred years remaining is worth roughly the equivalent as a freehold. Where an additional ninety years added to any lease with more than 30 years left, the residence will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Chelsea Building Society | |
| Godiva Mortgages | |
| Leeds Building Society | |
| National Westminster Bank | |
| Royal Bank of Scotland |
Regardless of whether you are a tenant or a landlord in Carbis Bay,the lease extension lawyers that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Carbis Bay valuers.
Jonathan owned a high value flat in Carbis Bay being marketed with a lease of a few days over 59 years outstanding. Jonathan informally contacted his freeholder a well known London-based freehold company and enquired on a premium to extend the lease. The landlord was keen to grant an extension on non-statutory terms taking the lease to 125 years subject to a new rent to start with set at £200 per annum and doubled every 25 years thereafter. No ground rent would be due on a lease extension were Jonathan to invoke his statutory right. Jonathan procured expert advice and was able to make an informed judgement and deal with the matter and sell the property.
Ms Amelia Moreau bought a newly refurbished apartment in Carbis Bay in January 2005. The dilemma was if we could approximate the price would be for a 90 year lease extension. Comparative premises in Carbis Bay with an extended lease were worth £265,000. The average ground rent payable was £50 invoiced every twelve months. The lease elapsed on 21 September 2099. Taking into account 73 years outstanding we estimated the premium to the landlord to extend the lease to be within £9,500 and £11,000 plus legals.
Last May we were contacted by Mr and Mrs. B Thomas , who took over the lease of a basement flat in Carbis Bay in April 2001. The question was if we could shed any light on how much (roughly) premium could be to extend the lease by an additional years. Similar premises in Carbis Bay with 100 year plus lease were in the region of £264,000. The mid-range ground rent payable was £60 billed monthly. The lease expired on 2 November 2079. Taking into account 53 years remaining we estimated the compensation to the landlord for the lease extension to be between £37,100 and £42,800 not including costs.