It’s an underpublicised certainty that a Great Barford 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 loss of value being disguised by increases in the Great Barford property prices.Where your lease has approximately 90 years left, you should start thinking about a lease extension. If the number of years remaining drops below eighty years, you will end up paying half of the property's 'marriage value' on top of the usual cost of the lease extension to the landlord. The marriage fee is the amount of extra value that a lease extension will add the property Most leasehold owners in Great Barford will be able to extend under the legislation; however a conveyancer will be able to clarify if you are eligibility. In some cases you may not qualify. There are also strict timetables and procedures to follow once the process is instigated and you will need to be guided by your conveyancer throughout the formalities.
Leasehold properties in Great Barford with more than one hundred years remaining on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little upside in buying the reversionary interest unless savings on ground rent and service charges justify it.
| Lender | Requirement |
|---|---|
| Barclays plc | |
| Coventry Building Society | |
| Leeds Building Society | |
| Nationwide Building Society | |
| Santander |
The conveyancers that we work with undertake Great Barford 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 lawyer we work with provide it.
Following unsuccessful discussions with the freeholder of her leasehold apartment in Great Barford, Imogen started the lease extension process as the 80 year mark was quickly coming. The legal work was finalised in October 2015. The freeholder’s charges were kept to an absolute minimum.
In 2009 we were approached by Mrs Elizabeth Pérez who, having owned a purpose-built apartment in Great Barford in May 2010. We are asked if we could approximate the compensation to the landlord could be to prolong the lease by an additional years. Comparable premises in Great Barford with an extended lease were valued about £216,000. The average amount of ground rent was £60 billed monthly. The lease lapsed in 2084. Having 58 years outstanding we approximated the compensation to the landlord for the lease extension to be between £28,500 and £33,000 exclusive of legals.
Last Winter we were contacted by Mr and Mrs. J Simon , who took over the lease of a one bedroom apartment in Great Barford in April 1997. The question was if we could estimate the premium would likely be to extend the lease by 90 years. Comparable homes in Great Barford with 100 year plus lease were worth £205,000. The mid-range ground rent payable was £50 invoiced per annum. The lease terminated on 4 April 2104. Having 78 years unexpired we approximated the premium to the landlord to extend the lease to be within £7,600 and £8,800 exclusive of costs.