Owning a apartment usually means owning a lease of the property, this is a ‘time-limited’ interest becoming shorter every day. This lease will ordinarily be granted for a set period of time , usually 99 or 125 years, although we have come across longer and shorter terms in Bexhill On Sea. Inevitably, the length of lease remaining shortens over time. This is often overlooked and only raises itself as an issue when the flat or house has to be disposed of or refinanced. The shorter the lease the less it is worth and the more it will cost to extend the lease. Qualifying leaseholders in Bexhill On Sea have the right to extend the lease for a further ninety years in accordance with legislation. Do give due consideration before delaying your Bexhill On Sea lease extension. Holding off the cost now likely increases the price you will eventually have to pay for a lease extension
It is conventional wisdom that a property with more than one hundred years remaining is worth roughly the same as a freehold. Where an additional 90 years added to any lease with more than 30 years remaining, the residence will be worth the same as a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | |
| Birmingham Midshires | |
| Chelsea Building Society | |
| The Mortgage Works | |
| Royal Bank of Scotland |
The conveyancing solicitors that we work with handle Bexhill On Sea 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 conveyancing solicitor we work with provide it.
Hunter owned a 2 bedroom flat in Bexhill On Sea on the market with a lease of a little over 61 years left. Hunter informally contacted his freeholder a well known local-based freehold company and enquired on a premium to extend the lease. The landlord was prepared to give an extension on non-statutory terms taking the lease to 125 years subject to a rise in the rent to £50 annually. No ground rent would be payable on a lease extension were Hunter to invoke his statutory right. Hunter procured expert legal guidance and was able to make an informed decision and handle with the matter and ending up with a market value flat.
Mr V Anderson completed a ground floor flat in Bexhill On Sea in February 1995. The dilemma was if we could estimate the premium would be for a ninety year extension to my lease. Identical residencies in Bexhill On Sea with an extended lease were worth £205,000. The mid-range amount of ground rent was £50 billed monthly. The lease terminated on 1 July 2104. Having 78 years remaining we estimated the compensation to the freeholder to extend the lease to be within £8,600 and £9,800 not including costs.
In 2013 we were e-mailed by Mr V Evans who, having acquired a one bedroom apartment in Bexhill On Sea in March 1998. The dilemma was if we could estimate the premium would be for a ninety year lease extension. Comparable homes in Bexhill On Sea with an extended lease were valued about £267,600. The mid-range amount of ground rent was £65 invoiced annually. The lease elapsed on 26 August 2093. Considering the 67 years remaining we calculated the premium to the landlord to extend the lease to be within £14,300 and £16,400 not including legals.