Brackla residential property held on a long lease is a wasting asset because a leaseholder only owns the property for a set term.
Leasehold residencies in Brackla with in excess of one hundred years remaining on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such circumstances there is often little to be gained by purchasing the freehold unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 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. |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
Lease extensions in Brackla can be a difficult process. We recommend you secure professional help from a lawyer and valuer with experience in this area.
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 dealing with Brackla 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 unsuccessful discussions with the landlord of her two bedroom apartment in Brackla, Jessica commenced the lease extension process as the eighty year deadline was fast nearing. The lease extension was concluded in September 2012. The freeholder’s fees were restricted to approximately 550 GBP.
Mr and Mrs. T Campbell was assigned a lease of a ground floor flat in Brackla in January 1996. The dilemma was if we could estimate the price would likely be to prolong the lease by ninety years. Identical premises in Brackla with 100 year plus lease were worth £270,000. The mid-range ground rent payable was £55 collected yearly. The lease came to a finish in 2100. Given that there were 74 years as a residual term we calculated the compensation to the landlord to extend the lease to be between £9,500 and £11,000 not including fees.
Dr Katherine Lefebvre purchased a studio flat in Brackla in September 2007. We are asked if we could shed any light on how much (roughly) price would likely be for a ninety year lease extension. Comparative premises in Brackla with 100 year plus lease were valued about £166,400. The mid-range ground rent payable was £60 billed per annum. The lease came to a finish in 2080. Taking into account 54 years unexpired we calculated the premium to the landlord for the lease extension to be within £32,300 and £37,400 exclusive of legals.