The closer a residential lease in Bracknell nears to zero years unexpired, the more it reduces the value of the property. If the lease has, more than one hundred years remaining then this decrease may be of little impact that being said there will become a point in time when a lease has fewer than 80 years unexpired as part of the premium you will incur is what is termed as a marriage value. This could increase markedly the cost. It is the main logic behind why you should consider extending without delay. The majority of flat owners in Bracknell will qualify for this right; nevertheless a conveyancer should be able to advise if you qualify to extend your lease. In certain situations you may not qualify, the most frequent reason being that you have owned the property for less than two years.
It is generally accepted that a residential leasehold with in excess of one hundred years unexpired lease term is worth roughly the equivalent as a freehold. Where an additional ninety years added to any lease with more than 30 years left, the residence will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Barclays plc | |
| Barnsley Building Society | |
| Skipton Building Society | |
| The Mortgage Works |
The lawyers that we work with handle Bracknell 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 conversion apartment in Bracknell being marketed with a lease of just over 59 years left. Hunter on an informal basis contacted his landlord being a well known Manchester-based freehold company for a lease extension. The landlord was prepared to agree an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent at the outset set at £150 per annum and increase every 25 years thereafter. Ordinarily, ground rent would not be payable on a lease extension were Hunter to invoke his statutory right. Hunter procured expert legal guidance and secured an acceptable resolution informally and readily saleable.
Mrs Daisy François completed a first floor apartment in Bracknell in October 2006. We are asked if we could estimate the compensation to the landlord would likely be for a ninety year lease extension. Identical flats in Bracknell with a long lease were worth £206,200. The mid-range amount of ground rent was £60 billed quarterly. The lease lapsed on 1 October 2082. Given that there were 56 years remaining we estimated the premium to the freeholder for the lease extension to be within £31,400 and £36,200 not including legals.
Last Summer we were phoned by Dr Y Flores , who was assigned a lease of a basement flat in Bracknell in June 2009. The dilemma was if we could estimate the compensation to the landlord would likely be for a ninety year lease extension. Identical residencies in Bracknell with an extended lease were in the region of £300,000. The mid-range amount of ground rent was £50 collected monthly. The lease elapsed on 25 October 2102. Taking into account 76 years unexpired we calculated the compensation to the landlord for the lease extension to be between £8,600 and £9,800 plus legals.