The re-sale value of a leasehold property in Batheaston depends on how long the lease has left to run. If it is near to or fewer than eighty years you should anticipate difficulties on re-sale, so it is advisable to arrange for the lease to be extended before buying. It is preferable to commence the lease extension process when a lease still has 82 years to run so that all matters can be finalised prior to the 80 year cut off point. Leasehold Reform legislation enables Batheaston qualifying lessees to a 90 year extension added to their unexpired lease term (ie if your lease has fifty years remaining the statutory lease extension will provide a new term of 140 years). The reason of the valuation is to arrive at an opinion of the amount payable by the lessee to the freeholder for the purchase of the lease extension.
It is generally accepted that a residential leasehold with more than one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional 90 years added to all but the shortest lease, 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. |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| 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 Batheaston can be a difficult process. We recommend you obtain professional help from a conveyancing solicitor 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 dealing with Batheaston lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
14 months ago Liam, started to get close to the 80-year threshold with the lease on his garden flat in Batheaston. In buying his property 19 years ago, the length of the lease was of no significance. As luck would have it, he noticed he would soon be paying an inflated amount for Extending the lease. Liam extended the lease just under the wire in July. Liam and the freeholder via the managing agents in the end settled on sum of £6,000 . If the lease had dropped to less than 80 years, the sum would have gone up by a minimum £1,075.
Dr Rhiannon Wilson bought a garden flat in Batheaston in November 2004. The question was if we could approximate the price would likely be to prolong the lease by a further 90 years. Identical homes in Batheaston with a long lease were valued about £267,600. The average ground rent payable was £65 invoiced annually. The lease expired on 27 March 2092. Having 67 years as a residual term we approximated the compensation to the landlord for the lease extension to be between £14,300 and £16,400 exclusive of legals.
In 2009 we were e-mailed by Mr Teddy Roberts who, having acquired a one bedroom apartment in Batheaston in August 2000. The dilemma was if we could shed any light on how much (approximately) price would likely be to prolong the lease by ninety years. Similar flats in Batheaston with 100 year plus lease were valued about £206,200. The average amount of ground rent was £55 invoiced annually. The lease came to a finish on 25 March 2081. Given that there were 56 years unexpired we calculated the premium to the landlord for the lease extension to be within £31,400 and £36,200 exclusive of legals.