It’s a harsh certainty that a Exminster residential lease is a deteriorating asset. The lease value drops in proportion to its lease length. The extent of this is not fully appreciated in the early years due to the depreciation being disguised by increases in the Exminster property prices.Where your lease has approximately ninety years left, you should start considering a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease slips lower than 80 years - otherwise a higher amount will be payable. The majority of flat owners in Exminster will be able to extend under the legislation; however a conveyancer should be able to confirm whether you qualify for an extension. In some cases you may not qualify. There are also strict timeframes and procedures to be adhered to once the process is initiated and you will need to be guided by your conveyancing solicitor throughout the process.
Leasehold properties in Exminster with in excess of 100 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 property. In such situations there is often little upside in buying the freehold unless savings on ground rent and estate charges merit it.
| Lender | Requirement |
|---|---|
| Godiva Mortgages | |
| Santander | |
| TSB | |
| The Mortgage Works | |
| Royal Bank of Scotland |
Lease extensions in Exminster can be a difficult process. We recommend you obtain guidance from a conveyancer and surveyor well versed in the legislation and lease extension process.
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 Exminster lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Henry was the the leasehold owner of a high value flat in Exminster on the market with a lease of a little over sixty years remaining. Henry informally contacted his freeholder being a well known Bristol-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to grant an extension taking the lease to 125 years subject to a new rent to start with set at £200 per annum and doubled every twenty five years thereafter. No ground rent would be due on a lease extension were Henry to invoke his statutory right. Henry obtained expert advice and was able to make an informed decision and handle with the matter and ending up with a market value flat.
In 2011 we were called by Ms Kirsty Murphy who, having was assigned a lease of a newly refurbished flat in Exminster in May 1999. We are asked if we could approximate the premium would likely be for a ninety year lease extension. Identical properties in Exminster with an extended lease were worth £220,400. The mid-range ground rent payable was £45 billed per annum. The lease lapsed on 10 September 2090. Having 64 years as a residual term we approximated the compensation to the freeholder to extend the lease to be between £16,200 and £18,600 not including professional charges.
In 2010 we were called by Dr Isobel Lefebvre who, having took over the lease of a ground floor apartment in Exminster in March 2001. We are asked if we could approximate the premium would be to prolong the lease by a further 90 years. Similar properties in Exminster with a long lease were in the region of £270,000. The mid-range amount of ground rent was £55 billed annually. The lease elapsed in 2101. Considering the 75 years unexpired we estimated the compensation to the freeholder for the lease extension to be between £9,500 and £11,000 plus professional charges.