Unfortunately that a Shirehampton residential lease is a deteriorating asset. The lease value reduces in proportion to its lease length. The extent of this is taken for granted in the first few years due to the loss of value being disguised by increases in the Shirehampton property market.Once your lease nears 85ish years, you need to start thinking about 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 eighty years - otherwise a higher amount will be due. Most flat owners in Shirehampton will be able to extend under the legislation; however a lawyer should be able to confirm whether you are eligibility. In some situations you may not be entitled. There are also strict timeframes and procedures to be adhered to once the process has commenced and you will need to be guided by your conveyancer for the duration of the process.
Leasehold residencies in Shirehampton with in excess of one hundred years outstanding on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such circumstances there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and maintenance charges merit it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Birmingham Midshires | |
| Chelsea Building Society | |
| Coventry Building Society | |
| Virgin |
Lease extensions in Shirehampton can be a difficult process. We recommend you procure professional help from a lawyer and surveyor with experience in this area.
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 dealing with Shirehampton lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Last October Austin, came very close to the eighty-year threshold with the lease on his ground floor apartment in Shirehampton. Having bought his home 19 years previously, the lease term was of no significance. Thankfully, it dawned on him that he needed to take action soon on a lease extension. Austin extended the lease just ahead of time in August. Austin and the freeholder via the management company subsequently agreed on the final figure of £5,000 . If the lease had slipped to less than eighty years, the figure would have escalated by a minimum £1,050.
Mr and Mrs. S Kelly purchased a studio flat in Shirehampton in May 2006. We are asked if we could shed any light on how much (approximately) premium could be for a ninety year lease extension. Comparable homes in Shirehampton with 100 year plus lease were worth £250,000. The average ground rent payable was £50 invoiced per annum. The lease ended on 7 August 2095. Taking into account 69 years remaining we estimated the premium to the freeholder for the lease extension to be between £9,500 and £11,000 not including fees.
Last March we were approach by Ms Robyn Scott , who purchased a one bedroom apartment in Shirehampton in November 1998. We are asked if we could approximate the premium would likely be to extend the lease by 90 years. Comparative premises in Shirehampton with 100 year plus lease were worth £290,000. The mid-range amount of ground rent was £60 billed monthly. The lease expired on 8 May 2106. Considering the 80 years left we calculated the premium to the landlord for the lease extension to be within £13,300 and £15,400 plus expenses.