Unfortunately that a Bamber Bridge residential lease is a wasting asset. As the lease term diminishes so does the value of the property. The extent of this is not fully appreciated in the early years due to the deflation being disguised by increases in the Bamber Bridge property prices.Where your lease has approximately 90 years left, you need to start thinking about a lease extension. If the number of years remaining falls below 80 years, you will then be required to pay half of the property's 'marriage value' on top of the usual cost of the lease extension to the landlord. Marriage value is the amount of extra value that a lease extension will add the property The majority of flat owners in Bamber Bridge will be able to extend under the legislation; however a conveyancer should be able to confirm if you qualify for an extension. In some cases you may not be entitled. There are also strict timeframes and procedures to follow once the process is initiated and you will need to be guided by your lawyer from beginning to end of the process.
It is generally considered that a residential leasehold with more than 100 years remaining is worth approximately the same as a freehold. Where an additional 90 years added to any lease with more than 45 years remaining, the residence will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Barnsley Building Society | |
| Coventry Building Society | |
| Santander | |
| TSB |
Retaining our service will provide you increased control over the value of your Bamber Bridge leasehold, as your property will be more valuable and marketable in respect of lease length should you want to sell. The conveyancers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
In recent months Michael, started to get near to the eighty-year threshold with the lease on his studio flat in Bamber Bridge. Having purchased his flat 19 years ago, the lease term was of no importance. by good luck, he realised he would soon be paying an escalated premium for a lease extension. Michael extended the lease at the eleventh hour last September. Michael and the landlord ultimately settled on an amount of £5,500 . If he not met the deadline, the sum would have become more exhorbitant by a minimum £975.
In 2012 we were contacted by Mr Blake Davis who, having was assigned a lease of a studio apartment in Bamber Bridge in June 2005. We are asked if we could shed any light on how much (roughly) price could be to extend the lease by a further 90 years. Comparable flats in Bamber Bridge with an extended lease were worth £257,800. The average amount of ground rent was £65 invoiced every twelve months. The lease came to a finish on 25 April 2091. Taking into account 65 years left we approximated the compensation to the landlord to extend the lease to be within £18,100 and £20,800 exclusive of professional charges.
In 2014 we were called by Mrs Leah Campbell who, having owned a one bedroom flat in Bamber Bridge in January 1996. We are asked if we could shed any light on how much (roughly) premium would be for a 90 year extension to my lease. Comparable flats in Bamber Bridge with a long lease were in the region of £191,400. The average amount of ground rent was £55 collected monthly. The lease expired in 2080. Having 54 years remaining we approximated the compensation to the landlord to extend the lease to be between £34,200 and £39,600 not including fees.