As the length of the unexpired term of a Bishopsworth domestic lease decreases so does its value and therefore the value of your property. Where the residual term has, more than 125 years to run then this decrease may be fractional that being said there will become a stage when a lease has fewer than 80 years unexpired as part of the premium you will incur is what is termed as a marriage value. This could increase sharply the cost. It is the primary reason why you should consider extending sooner rather than later. The majority of flat owners in Bishopsworth will qualify for this right; that being said a conveyancer will be able to advise if you are eligible for a lease extension. In limited situations you may not qualify, the most common reason being that you have not been the owner of the property for two years.
It is conventional wisdom that a residential leasehold with over one hundred years remaining is worth approximately the equivalent as a freehold. Where an additional 90 years added to all but the shortest lease, the residence will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Coventry Building Society | A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
Lease extensions in Bishopsworth can be a difficult process. We recommend you obtain guidance from a lawyer and surveyor with experience in lease extensions.
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 a wealth of experience dealing with Bishopsworth lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
After unsuccessful negotiations with the freeholder of her studio apartment in Bishopsworth, Leah initiated the lease extension process as the 80 year threshold was swiftly nearing. The transaction completed in November 2014. The freeholder’s charges were kept to an absolute minimum.
Mr Oliver Lee bought a first floor apartment in Bishopsworth in November 2009. The question was if we could estimate the compensation to the landlord would likely be to extend the lease by a further 90 years. Comparable properties in Bishopsworth with a long lease were in the region of £168,800. The average ground rent payable was £60 billed annually. The lease elapsed in 2081. Taking into account 55 years unexpired we approximated the premium to the freeholder for the lease extension to be within £31,400 and £36,200 plus costs.
In 2010 we were approached by Mrs Samantha Rose who, having purchased a one bedroom flat in Bishopsworth in June 1995. We are asked if we could estimate the compensation to the landlord would likely be to extend the lease by a further 90 years. Similar residencies in Bishopsworth with a long lease were in the region of £235,200. The average ground rent payable was £45 invoiced yearly. The lease lapsed on 5 August 2092. Taking into account 66 years remaining we calculated the compensation to the landlord to extend the lease to be within £12,400 and £14,200 not including costs.