Bexhill On Sea residential property owned on a long lease is a wasting asset as the leaseholder only owns the property for a period of years.
Leasehold premises in Bexhill On Sea with more than 100 years remaining on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little upside in buying the reversionary interest unless savings on ground rent and estate charges merit it.
| Lender | Requirement |
|---|---|
| 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. |
| Godiva Mortgages | 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. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Lease extensions in Bexhill On Sea can be a difficult process. We recommend you procure professional help from a conveyancer 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 in-depth market knowledge procuring Bexhill On Sea lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Trailing protracted negotiations with the landlord of her leasehold apartment in Bexhill On Sea, Isabel commenced the lease extension process as the eighty year threshold was rapidly advancing. The legal work completed in June 2009. The landlord’s charges were kept to an absolute minimum.
Last Autumn we were phoned by Mr E Allen , who took over the lease of a studio flat in Bexhill On Sea in October 2010. The dilemma was if we could estimate the premium would likely be for a 90 year extension to my lease. Comparable homes in Bexhill On Sea with an extended lease were valued around £243,000. The average amount of ground rent was £65 collected monthly. The lease elapsed on 26 June 2089. Given that there were 63 years left we estimated the compensation to the freeholder for the lease extension to be between £20,000 and £23,000 not including legals.
Last Winter we were approach by Mr and Mrs. S Simon , who acquired a one bedroom flat in Bexhill On Sea in May 2001. We are asked if we could approximate the price could be for a ninety year extension to my lease. Similar flats in Bexhill On Sea with a long lease were valued about £181,600. The mid-range ground rent payable was £55 billed per annum. The lease ended on 27 January 2078. Given that there were 52 years left we estimated the premium to the landlord to extend the lease to be between £30,400 and £35,200 plus fees.