Owning a flat 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 set period of time , usually 99 or 125 years, although we have seen longer and shorter terms in Badminton. Clearly, the length of lease left shortens over time. This may pass by relatively unnoticed when the property has 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 Badminton have the right to extend the lease for an additional 90 years in accordance with statute. You should give careful attention before putting off your Badminton lease extension. Holding off the cost now likely increases the price you will eventually have to pay to extend your lease
It is conventional wisdom that a residential leasehold with more than one hundred years unexpired lease term is worth roughly the same as a freehold. Where an additional ninety years added to all but the shortest lease, the residence will be worth the same as a freehold for decades to come.
|Bank of Scotland||Minimum 70 years from the date of the mortgage.|
|Birmingham Midshires||Minimum 70 years from the date of the mortgage.|
|Leeds Building Society||85 years remaing from the start of the mortgage.|
|Santander|| You must report the unexpired lease term to us and await our instructions if: |
1. the unexpired term assumed by our valuer is between 55 and 82 years, but the actual unexpired term differs by more than one year (whether longer or shorter); or
2. the unexpired term assumed by our valuer is more than 82 years but the actual unexpired term is less than 82 years; or
3. no valuation report is provided
However, we will not accept a lease where on expiry of the mortgage:
(i) less than 50 years remain and all or part of the loan is repaid on an interest-only basis: or
(ii) less than 30 years remain and the loan is repaid on a capital and interest basis
We will accept a lease that has been extended under the provisions of the Leasehold Reform Act 1993 provided statutory compensation would be available to the leaseholder.
|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 Badminton can be a difficult process. We recommend you secure professional help 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 procuring Badminton 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 Zachary, came seriously close to the eighty-year mark with the lease on his leasehold flat in Badminton. In buying his property two decades ago, the length of the lease was of minimal interest. Fortunately, he realised he would imminently be paying an inflated amount for Extending the lease. Zachary extended the lease at the eleventh hour in May. Zachary and the landlord who owned the flat above eventually settled on sum of £5,000 . If he not met the deadline, the price would have escalated by a minimum £1,075.
In 2013 we were approached by Mr and Mrs. N Thompson who, having acquired a garden flat in Badminton in March 1999. We are asked if we could shed any light on how much (approximately) price would be for a ninety year lease extension. Comparable residencies in Badminton with 100 year plus lease were in the region of £295,000. The mid-range amount of ground rent was £45 collected quarterly. The lease finished in 2097. Having 74 years outstanding we estimated the compensation to the freeholder to extend the lease to be within £8,600 and £9,800 plus fees.
Mr and Mrs. D Rogers owned a studio apartment in Badminton in February 2000. The dilemma was if we could approximate the compensation to the landlord would be for a 90 year lease extension. Comparative flats in Badminton with a long lease were in the region of £243,000. The mid-range amount of ground rent was £65 invoiced monthly. The lease ran out on 11 February 2086. Taking into account 63 years left we calculated the premium to the freeholder to extend the lease to be within £20,000 and £23,000 exclusive of professional charges.