Chances are that where you own a flat in Bedminster you actually own a long leasehold interest over your property
It is conventional wisdom that a property with over 100 years remaining is worth approximately the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the residence will be equivalent in value to a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| 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. |
| National Westminster Bank | Mortgage term plus 30 years. |
| Santander | You must report the unexpired lease term to us and await our instructions if: 1. the unexpired term assumed by our valuer is between 55 and 82 years, but the actual unexpired term differs by more than one year (whether longer or shorter); or 2. the unexpired term assumed by our valuer is more than 82 years but the actual unexpired term is less than 82 years; or 3. no valuation report is provided However, we will not accept a lease where on expiry of the mortgage: (i) less than 50 years remain and all or part of the loan is repaid on an interest-only basis: or (ii) less than 30 years remain and the loan is repaid on a capital and interest basis We will accept a lease that has been extended under the provisions of the Leasehold Reform Act 1993 provided statutory compensation would be available to the leaseholder. |
Lease extensions in Bedminster can be a difficult process. We recommend you obtain guidance from a conveyancer and valuer with experience in this area.
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 in-depth market knowledge dealing with Bedminster lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Joshua owned a conversion apartment in Bedminster on the market with a lease of a few days over 72 years outstanding. Joshua informally approached his landlord being a well known Bristol-based freehold company for a lease extension. The freeholder indicated a willingness to grant an extension taking the lease to 125 years subject to a new rent at the outset set at £200 per annum and increase every twenty five years thereafter. Ordinarily, ground rent would not be payable on a lease extension were Joshua to exercise his statutory right. Joshua procured expert advice and secured an acceptable deal without going to tribunal and readily saleable.
Mr and Mrs. P Edwards acquired a basement flat in Bedminster in November 2002. The question was if we could shed any light on how much (approximately) premium would be for a ninety year extension to my lease. Identical premises in Bedminster with 100 year plus lease were worth £198,800. The average amount of ground rent was £55 billed every twelve months. The lease lapsed in 2080. Having 55 years left we approximated the compensation to the freeholder to extend the lease to be within £33,300 and £38,400 plus professional charges.
Last Summer we were contacted by Mr Teddy Roux , who was assigned a lease of a one bedroom flat in Bedminster in October 2002. The dilemma was if we could shed any light on how much (roughly) premium would likely be to extend the lease by ninety years. Similar residencies in Bedminster with an extended lease were worth £300,000. The average amount of ground rent was £50 invoiced every twelve months. The lease came to a finish in 2100. Having 75 years outstanding we estimated the premium to the landlord to extend the lease to be between £8,600 and £9,800 plus costs.