Chances are that where you own a flat in Bilston and Bradley you actually own a long leasehold interest over your property
It is generally considered that a property with more than one hundred years remaining is worth roughly the equivalent as a freehold. Where an additional 90 years added to any lease with more than 45 years remaining, the premises will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| 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. |
| 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. |
Retaining our service gives you increased control over the value of your Bilston and Bradley leasehold, as your property will be more valuable and saleable in terms of lease length should you want to sell. The conveyancing solicitors that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
During the course of the last few months Owen, started to get near to the 80-year mark with the lease on his first floor flat in Bilston and Bradley. Having purchased his flat two decades ago, the unexpired term was of minimal concern. Luckily, he realised he would soon be paying way over the odds for Extending the lease. Owen extended the lease at the eleventh hour last August. Owen and the landlord subsequently settled on sum of £5,500 . If he not met the deadline, the amount would have gone up by a minimum £1,050.
Mr Thomas Moreau completed a one bedroom apartment in Bilston and Bradley in July 1995. The question was if we could shed any light on how much (roughly) compensation to the landlord could be for a 90 year lease extension. Similar flats in Bilston and Bradley with a long lease were in the region of £213,600. The average ground rent payable was £60 collected per annum. The lease terminated in 2083. Taking into account 57 years remaining we approximated the compensation to the freeholder for the lease extension to be within £30,400 and £35,200 plus fees.
Last Christmas we were called by Dr Jude Robinson , who completed a basement flat in Bilston and Bradley in November 2009. The question was if we could shed any light on how much (approximately) price would be to extend the lease by a further 90 years. Comparative homes in Bilston and Bradley with an extended lease were valued about £200,000. The average ground rent payable was £50 invoiced monthly. The lease ran out in 2103. Considering the 77 years as a residual term we calculated the premium to the landlord for the lease extension to be between £8,600 and £9,800 plus costs.