Owning a apartment usually means owning a lease of the property, which has a finite term of years. This lease will ordinarily be granted for a fixed period of time , usually 99 or 125 years, although we have come across longer and shorter terms in Beaumaris. Inevitably, the length of lease left shortens over time. This is often overlooked and only raises itself as an issue when the property needs to be sold or re-mortgaged. The fewer the years remaining the lower the value of the property and the more expensive it will be to extend the lease. Eligible leaseholders in Beaumaris have the right to extend the lease for a further ninety years under Leasehold Reform legislation. Do give careful deliberation before putting off your Beaumaris lease extension. Holding off the cost now only increases the price you will eventually have to pay to extend your lease
It is generally considered that a property with in excess of 100 years unexpired lease term is worth roughly the same as a freehold. Where an further ninety years added to all but the shortest lease, the property will be equivalent in value to a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| 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. |
| Leeds Building Society | 85 years remaining from the start 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 |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
The conveyancing solicitors that we work with undertake Beaumaris 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 conveyancer we work with provide it.
Trailing unsuccessful discussions with the freeholder of her ground floor flat in Beaumaris, Elizabeth started the lease extension process just as the lease was nearing the critical 80-year threshold. The transaction was finalised in April 2009. The landlord’s fees were negotiated to slightly above 700 pounds.
Mr and Mrs. H Brooks completed a one bedroom flat in Beaumaris in March 1999. The question was if we could approximate the premium would be to prolong the lease by a further 90 years. Comparative premises in Beaumaris with a long lease were valued about £200,800. The average ground rent payable was £65 billed monthly. The lease finished on 13 October 2085. Given that there were 60 years as a residual term we calculated the compensation to the freeholder to extend the lease to be between £20,900 and £24,200 plus expenses.
Dr Mia Bertrand bought a studio flat in Beaumaris in February 2007. The question was if we could approximate the compensation to the landlord would likely be for a ninety year lease extension. Comparative flats in Beaumaris with 100 year plus lease were valued about £255,000. The average amount of ground rent was £50 invoiced yearly. The lease came to a finish on 2 March 2096. Taking into account 71 years outstanding we calculated the compensation to the freeholder to extend the lease to be between £9,500 and £11,000 plus legals.