It’s an underpublicised certainty that a Billericay residential lease is a wasting asset. As the lease term reduces so does the value of the property. The extent of this is taken for granted in the first few years due to the loss of value being disguised by increases in the Billericay property prices.Once your lease gets to 85ish years, you should start thinking about a lease extension. If lease term falls under 80 years, you will end up paying half of the property's 'marriage value' in addition to the usual cost of the lease extension to the landlord. Marriage value is the amount of extra value that a lease extension will add the property Most flat owners in Billericay will be able to extend under the legislation; however a lawyer should be able to confirm whether you are eligibility. In some cases you may not be entitled. There are also strict timeframes and procedures to follow once the process is initiated and you will need to be guided by your conveyancing solicitor throughout the process.
Leasehold properties in Billericay with more than one hundred 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 to be gained by purchasing the reversionary interest unless savings on ground rent and maintenance charges justify it.
| Lender | Requirement |
|---|---|
| Godiva Mortgages | |
| National Westminster Bank | |
| Skipton Building Society | |
| Virgin | |
| Yorkshire Building Society |
Lease extensions in Billericay can be a difficult process. We recommend you procure guidance 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 procuring Billericay lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Subsequent to protracted correspondence with the freeholder of her leasehold flat in Billericay, Harriet initiated the lease extension process as the 80 year mark was quickly nearing. The legal work was concluded in March 2010. The freeholder’s costs were kept to an absolute minimum.
Last month we were approach by Dr H Gómez , who purchased a studio flat in Billericay in March 2005. We are asked if we could estimate the compensation to the landlord could be to prolong the lease by ninety years. Comparative properties in Billericay with an extended lease were in the region of £242,600. The average ground rent payable was £45 invoiced per annum. The lease elapsed on 4 January 2093. Taking into account 67 years unexpired we calculated the premium to the landlord to extend the lease to be between £11,400 and £13,200 exclusive of professional charges.
Mr and Mrs. A Bernard moved into a one bedroom flat in Billericay in November 2003. We are asked if we could estimate the price would be to prolong the lease by a further 90 years. Similar homes in Billericay with an extended lease were valued around £280,000. The average amount of ground rent was £55 billed annually. The lease expired on 1 June 2104. Taking into account 78 years outstanding we calculated the premium to the freeholder to extend the lease to be within £13,300 and £15,400 plus fees.