Bracknell leases on residential properties are gradually losing value. if your lease has in the region of ninety years left, you should start considering the need for a lease extension. 80 years is a significant number: when the remaining term of a lease drops below this level then you begin paying an additional element called marriage value. Leasehold owners in Bracknell will mostly be legally entitled to a lease extension; however a solicitor will check your eligibility. In certain cases you may not qualify. There are prescribed timetables and formalities to follow once the process is initiated so it’s best to be guided by a lawyer during the process.
Leasehold residencies in Bracknell with in excess of 100 years remaining on the lease are often 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 |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| 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. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
Lease extensions in Bracknell can be a difficult process. We recommend you obtain guidance from a conveyancing solicitor 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 procuring Bracknell lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Omar was the the leasehold owner of a studio apartment in Bracknell on the market with a lease of fraction over fifty eight years remaining. Omar on an informal basis approached his landlord being a well known London-based freehold company for a lease extension. The landlord indicated a willingness to extend the lease to 125 years on the basis of a new rent initially set at £100 per annum and increase every twenty five years thereafter. Ordinarily, ground rent would not be payable on a lease extension were Omar to exercise his statutory right. Omar procured expert legal guidance and was able to make an informed judgement and handle with the matter and sell the flat.
In 2011 we were approached by Mr Isaac James who, having took over the lease of a newly refurbished apartment in Bracknell in April 2004. The dilemma was if we could shed any light on how much (approximately) price would likely be for a ninety year extension to my lease. Similar homes in Bracknell with 100 year plus lease were in the region of £174,200. The average amount of ground rent was £55 billed per annum. The lease lapsed on 15 September 2077. Considering the 51 years remaining we approximated the premium to the freeholder to extend the lease to be within £31,400 and £36,200 plus fees.
Last Christmas we were phoned by Mr R Pérez , who acquired a one bedroom flat in Bracknell in April 1997. We are asked if we could estimate the premium would likely be for a 90 year lease extension. Identical properties in Bracknell with a long lease were in the region of £285,000. The mid-range ground rent payable was £45 billed annually. The lease ran out in 2097. Taking into account 71 years as a residual term we calculated the compensation to the landlord for the lease extension to be within £12,400 and £14,200 plus costs.