Owning a apartment usually means owning a lease of the property, this is a ‘time-limited’ interest becoming shorter every day. your lease will normally be granted for a fixed period of time , ordinarily 99 or 125 years, although we have witnessed longer and shorter terms in Sea Mills. Inevitably, the length of lease left shortens over time. This may slip by relatively unnoticed when the property needs to be disposed of or re-mortgaged. The shorter the lease the lower the value of the property and the more expensive it will be to extend the lease. Eligible leaseholders in Sea Mills have the legal entitlement to extend the lease for an additional ninety years under the 1993 Leasehold Reform Act. Please give careful consideration before delaying your Sea Mills lease extension. Holding off the cost now only increases the price you will eventually have to pay to extend your lease
Leasehold residencies in Sea Mills with over 100 years outstanding on the lease are sometimes 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 to be gained by purchasing the reversionary interest unless savings on ground rent and service charges merit it.
| 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. |
| Chelsea Building Society | 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower. |
| 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. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Lease extensions in Sea Mills can be a difficult process. We recommend you secure professional help 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 Sea Mills lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Subsequent to unsuccessful discussions with the freeholder of her studio apartment in Sea Mills, Natalie commenced the lease extension process just as her lease was nearing the all-important eighty-year threshold. The legal work completed in June 2006. The freeholder’s fees were restricted to a tad over 600 GBP.
Last month we were approach by Mr S Ramírez , who bought a garden flat in Sea Mills in February 2012. The question was if we could approximate the price would be to prolong the lease by ninety years. Comparable premises in Sea Mills with an extended lease were valued about £243,000. The average amount of ground rent was £65 invoiced yearly. The lease ran out in 2088. Having 63 years outstanding we approximated the premium to the landlord to extend the lease to be between £20,000 and £23,000 exclusive of legals.
Last year we were e-mailed by Mr and Mrs. L Roberts , who purchased a first floor apartment in Sea Mills in November 2006. The question was if we could approximate the compensation to the landlord would be for a ninety year extension to my lease. Comparative homes in Sea Mills with an extended lease were valued about £181,600. The mid-range amount of ground rent was £55 billed yearly. The lease termination date was in 2077. Given that there were 52 years unexpired we estimated the premium to the freeholder for the lease extension to be between £30,400 and £35,200 not including legals.