The nearer a residential lease in Padstow nears to zero years unexpired, the the greater the reduction in the value of the property. Where the lease has, over one hundred years to run then this decrease may be fractional however there will become a point in time when a lease has fewer than 80 years remaining as part of the premium you will incur is what is termed as a marriage value. This could be significant. It is the main rational as to why you should consider extending sooner as opposed to later. Many flat owners in Padstow will qualify for this right; nevertheless a lawyer can advise whether you qualify to extend your lease. In certain situations you may not qualify, the most common reason being that you have owned the property for less than two years.
It is generally considered that a property with more than one hundred years unexpired lease term is worth roughly the same as a freehold. Where an additional ninety years added to any lease with more than 30 years left, the property will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Barclays plc | |
| Barnsley Building Society | |
| Santander | |
| Skipton Building Society | |
| Yorkshire Building Society |
Retaining our service gives you better control over the value of your Padstow leasehold, as your property will be more valuable and saleable in relation to the lease length should you want to sell. The lawyers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
Benjamin owned a high value flat in Padstow on the market with a lease of a few days over 72 years outstanding. Benjamin on an informal basis spoke with his freeholder being a well known Manchester-based freehold company and enquired on a premium to extend the lease. The landlord was keen to agree an extension on non-statutory terms taking the lease to 125 years on the basis of an increased rent to £50 annually. Ordinarily, ground rent would not be payable on a lease extension were Benjamin to invoke his statutory right. Benjamin obtained expert legal guidance and was able to make an informed judgement and deal with the matter and ending up with a market value flat.
Last July we were contacted by Dr G François , who bought a one bedroom apartment in Padstow in September 2012. The question was if we could shed any light on how much (approximately) compensation to the landlord would be for a ninety year extension to my lease. Similar residencies in Padstow with 100 year plus lease were valued about £290,000. The mid-range amount of ground rent was £45 invoiced yearly. The lease elapsed in 2099. Considering the 73 years left we estimated the compensation to the landlord for the lease extension to be within £9,500 and £11,000 not including costs.
Last year we were e-mailed by Mrs D Girard , who acquired a ground floor apartment in Padstow in June 2003. The question was if we could shed any light on how much (roughly) premium would be for a ninety year lease extension. Identical premises in Padstow with a long lease were in the region of £240,600. The average amount of ground rent was £60 billed annually. The lease elapsed on 6 November 2088. Given that there were 62 years unexpired we estimated the compensation to the landlord for the lease extension to be between £21,900 and £25,200 not including professional charges.