As the the remaining lease term of a Bonvilston residential lease decreases so does its value and therefore the value of your property. If the residual term has, over 99 years remaining then this decrease may be fractional however there will become a stage when a lease has under than eighty years remaining as part of the premium you will incur is what is known as a marriage value. This could increase sharply the cost. It is the primary logic behind why you should consider extending sooner than later. Most flat owners in Bonvilston will qualify for this right; that being said a conveyancer can advise whether you qualify for a lease extension. In certain situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.
It is conventional wisdom that a residential leasehold with more than one hundred years remaining is worth approximately the same as a freehold. Where an additional ninety years added to any lease with more than 45 years remaining, the residence will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Bank of Scotland | |
| Barclays plc | |
| Chelsea Building Society | |
| Royal Bank of Scotland |
The conveyancing solicitors that we work with undertake Bonvilston 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 conveyancer we work with provide it.
Toby owned a studio flat in Bonvilston being marketed with a lease of a little over fifty eight years unexpired. Toby on an informal basis spoke with his landlord a well known Bristol-based freehold company and enquired on a premium to extend the lease. The freeholder was keen to agree an extension on non-statutory terms taking the lease to 125 years on the basis of a rise in the rent to £125 annually. Ordinarily, ground rent would not be payable on a lease extension were Toby to invoke his statutory right. Toby procured expert legal guidance and was able to make a more informed decision and handle with the matter and readily saleable.
In 2011 we were e-mailed by Mr and Mrs. P Murphy who, having took over the lease of a first floor apartment in Bonvilston in August 1998. We are asked if we could approximate the premium could be for a ninety year extension to my lease. Comparative flats in Bonvilston with 100 year plus lease were in the region of £183,600. The average ground rent payable was £65 collected per annum. The lease end date was on 27 March 2083. Having 57 years unexpired we estimated the compensation to the landlord for the lease extension to be within £28,500 and £33,000 plus fees.
Dr T Gómez took over the lease of a newly refurbished flat in Bonvilston in November 1998. We are asked if we could approximate the compensation to the landlord would likely be to prolong the lease by ninety years. Similar residencies in Bonvilston with a long lease were worth £245,000. The average ground rent payable was £50 invoiced quarterly. The lease expired on 14 May 2094. Considering the 68 years outstanding we estimated the premium to the landlord to extend the lease to be within £9,500 and £11,000 not including professional charges.