Owning a apartment usually means owning a lease of the property, this is a ‘time-limited’ interest becoming shorter every day. The lease will usually be granted for a fixed period of time , usually 99 or 125 years, although we have witnessed longer and shorter terms in Sudbury. Inevitably, the period of lease left shortens over time. This is often overlooked and only becomes a problem when the residence needs to be disposed of or refinanced. The fewer the years remaining the lower the value of the property and the more expensive it will be to extend the lease. Qualifying long lease owners in Sudbury have the right to extend the lease for an additional ninety years in accordance with legislation. Please give careful consideration before putting off your Sudbury lease extension. Putting off the cost now simply increases the price you will ultimately have to pay for a lease extension
It is conventional wisdom that a property with in excess of 100 years remaining is worth roughly the same as a freehold. Where an additional 90 years added to all but the shortest lease, the property will be equivalent in value to a freehold for many years in the future.
| 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. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Lease extensions in Sudbury can be a difficult process. We recommend you get professional help from a lawyer 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 Sudbury lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Off the back of unsuccessful correspondence with the freeholder of her studio apartment in Sudbury, Charlotte initiated the lease extension process just as her lease was nearing the critical eighty-year threshold. The legal work completed in July 2013. The freeholder’s charges were restricted to slightly above 550 GBP.
Last year we were e-mailed by Mr and Mrs. Y Watson , who acquired a ground floor apartment in Sudbury in March 1997. We are asked if we could approximate the compensation to the landlord could be to prolong the lease by ninety years. Similar homes in Sudbury with a long lease were valued around £285,000. The average ground rent payable was £45 invoiced every twelve months. The lease terminated on 8 March 2096. Given that there were 71 years left we estimated the compensation to the landlord to extend the lease to be within £12,400 and £14,200 exclusive of expenses.
An example of a Lease Extension case for a Sudbury property is Ground Floor Flat 79 London Road in September 2012. the Tribunal held that the premium payable for the lease extension should be £7,636 This case related to 1 flat. The remaining number of years on the lease was 74 years.