With a residential leasehold premises in Brixham, you are actually purchasing a right to live in a property for a prescribed time frame. These days flat leases are usually granted for 99 years or 125. Many leasehold owners become complacent as this seems like a lengthy period of time, you may consider a lease extension sooner rather than later. The general rule is that the shorter the number of years is the cost of extending the lease gets disproportionately greater particularly when there are less than eighty years left. Residents in Brixham with a lease approaching 81 years remaining should seriously think of extending it as soon as possible. When a lease has below eighty years remaining, under the current Act the landlord can calculate and charge a greater premium, assessed on a technical calculation, strangely termed as “marriage value” which is due.
It is conventional wisdom that a property with over 100 years unexpired lease term is worth approximately the same as a freehold. Where an additional ninety years added to all but the shortest lease, the property will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Godiva Mortgages | |
| Leeds Building Society | |
| TSB | |
| Royal Bank of Scotland | |
| Virgin |
Lease extensions in Brixham can be a difficult process. We recommend you procure guidance from a conveyancing solicitor and valuer 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 in-depth market knowledge procuring Brixham lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
18 months ago Jack, started to get near to the 80-year threshold with the lease on his two bedroom flat in Brixham. Having purchased his home two decades ago, the length of the lease was of little importance. Luckily, he realised he needed to take steps soon on a lease extension. Jack was able to extend his lease at the eleventh hour in July. Jack and the landlord ultimately settled on the final figure of £5,500 . If the lease had fallen to less than eighty years, the premium would have increased by a minimum £1,150.
Mr and Mrs. I Cook was assigned a lease of a newly refurbished flat in Brixham in February 2012. We are asked if we could estimate the compensation to the landlord would be for a 90 year extension to my lease. Comparative premises in Brixham with a long lease were in the region of £260,000. The average amount of ground rent was £50 collected annually. The lease came to a finish in 2098. Given that there were 72 years outstanding we approximated the premium to the freeholder to extend the lease to be between £9,500 and £11,000 plus legals.
In 2011 we were phoned by Mr Sam Petit who, having completed a basement apartment in Brixham in May 1997. We are asked if we could estimate the compensation to the landlord would likely be for a ninety year lease extension. Comparable flats in Brixham with an extended lease were in the region of £261,600. The average ground rent payable was £60 billed quarterly. The lease finished in 2078. Taking into account 52 years unexpired we calculated the compensation to the freeholder for the lease extension to be within £39,000 and £45,000 plus fees.