Bamber Bridge leases on domestic deteriorating in value. Where your lease has approximately 90 years remaining, you should start considering the need for a lease extension. Eighty years is a significant number: when the unexpired term of a lease dips below this level then you start incurring an additional element called marriage value. Leasehold owners in Bamber Bridge will mostly be legally entitled to a lease extension; however It would be wise to check with a lawyer to check your eligibility. In certain cases you may not qualify. There are also strict timetables and procedures to comply with once the process has commenced so it’s prudent to be guided by a lawyer during the process.
Leasehold residencies in Bamber Bridge with more than 100 years unexpired on the lease are often referred to as ‘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 freehold unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 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. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must also be not less than 75 years at the outset 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 |
The lawyers that we work with procure Bamber Bridge lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancing solicitor we work with provide it.
Hunter was the the leasehold owner of a 2 bedroom apartment in Bamber Bridge being sold with a lease of a little over fifty eight years left. Hunter informally contacted his freeholder being a well known local-based freehold company for a lease extension. The landlord was keen to give an extension on non-statutory terms taking the lease to 125 years subject to an increased rent to £100 yearly. No ground rent would be due on a lease extension were Hunter to exercise his statutory right. Hunter procured expert legal guidance and secured satisfactory resolution informally and ending up with a market value flat.
In 2012 we were contacted by Mr and Mrs. H Baker who, having bought a ground floor flat in Bamber Bridge in June 2009. We are asked if we could estimate the price would be to extend the lease by a further 90 years. Comparable properties in Bamber Bridge with 100 year plus lease were worth £198,800. The mid-range ground rent payable was £55 billed monthly. The lease ran out on 7 June 2080. Taking into account 55 years outstanding we approximated the compensation to the landlord to extend the lease to be between £33,300 and £38,400 plus legals.
Last November we were e-mailed by Mrs Charlotte Clark , who bought a recently refurbished apartment in Bamber Bridge in February 2008. The dilemma was if we could approximate the price would be for a 90 year extension to my lease. Identical residencies in Bamber Bridge with an extended lease were worth £295,000. The average amount of ground rent was £50 billed quarterly. The lease ran out on 11 August 2100. Considering the 75 years unexpired we approximated the premium to the freeholder for the lease extension to be between £8,600 and £9,800 plus costs.