There is no doubt about it a leasehold property in Bamber Bridge is a wasting asset as a result of the shortening lease. If the residual term has, in excess of 100 years to run then this decrease may be of little impact that being said there will become a point in time when a lease has fewer than 80 years unexpired as part of the premium you will incur is what is known as a marriage value. This could increase sharply the cost. It is the main reason why you should consider extending sooner than later. Most flat owners in Bamber Bridge will qualify for this right; nevertheless a lawyer will be able to confirm if you are eligible for a lease extension. In certain situations you may not qualify, the most common reason being that you have not been the owner of the property for two years.
It is generally accepted that a residential leasehold with in excess of one hundred years unexpired lease term is worth roughly the same as a freehold. Where an additional ninety years added to any lease with more than 30 years remaining, the premises 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. |
| 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
Lease extensions in Bamber Bridge can be a difficult process. We recommend you obtain professional help from a lawyer 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 Bamber Bridge lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
During the course of the last few months Toby, started to get close to the eighty-year threshold with the lease on his basement apartment in Bamber Bridge. In buying his flat two decades ago, the unexpired term was of minimal bearing. As luck would have it, he became aware that he needed to take action soon on a lease extension. Toby extended the lease just under the wire in April. Toby and the landlord subsequently agreed on the final figure of £5,500 . If he failed to meet the deadline, the price would have escalated by at least £950.
In 2011 we were called by Dr Amy Bell who, having owned a recently refurbished flat in Bamber Bridge in October 2011. The dilemma was if we could estimate the premium could be to extend the lease by an additional years. Comparative properties in Bamber Bridge with a long lease were valued around £267,600. The mid-range amount of ground rent was £65 billed per annum. The lease finished on 15 February 2093. Considering the 67 years remaining we estimated the premium to the landlord for the lease extension to be between £14,300 and £16,400 exclusive of professional charges.
In 2010 we were contacted by Mr and Mrs. C Davies who, having completed a first floor apartment in Bamber Bridge in March 2006. We are asked if we could estimate the compensation to the landlord would be to extend the lease by 90 years. Comparative premises in Bamber Bridge with an extended lease were worth £201,200. The mid-range amount of ground rent was £55 collected monthly. The lease concluded in 2082. Considering the 56 years remaining we estimated the premium to the landlord for the lease extension to be within £31,400 and £36,200 exclusive of expenses.