There is no doubt about it a leasehold property in Bradley Stoke is a wasting asset as a result of the shortening lease. If the residual term has, beyond 125 years remaining then this decrease may be fractional nevertheless there will become a stage when a lease has fewer than eighty years unexpired as part of the premium you will incur is what is termed as a marriage value. This could be significant. It is the primary logic behind why you should extend the lease without delay. Many flat owners in Bradley Stoke will qualify for this right; nevertheless a conveyancing solicitor can confirm whether you qualify for a lease extension. In limited situations you may not qualify, the most common reason being that you have owned the property for under two years.
It is generally accepted that a property with more than 100 years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional 90 years added to all but the shortest lease, the premises will be equivalent in value to a freehold for decades to come.
| 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. |
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
| Yorkshire 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. |
Irrespective of whether you are a tenant or a freeholder in Bradley Stoke,the lease extension experts that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Bradley Stoke valuers.
Half a year ago Adam, came very near to the 80-year threshold with the lease on his basement apartment in Bradley Stoke. In buying his property two decades ago, the lease term was of no interest. Fortunately, he recognised he needed to take action soon on Extending the lease. Adam arranged for a lease extension just under the wire last September. Adam and the landlord eventually agreed on the final figure of £5,000 . If the lease had dipped to less than 80 years, the price would have escalated by a minimum £925.
Last Christmas we were phoned by Ms C Allen , who owned a recently refurbished flat in Bradley Stoke in September 2004. The dilemma was if we could estimate the price could be for a ninety year extension to my lease. Comparative premises in Bradley Stoke with a long lease were worth £235,600. The mid-range amount of ground rent was £60 billed annually. The lease elapsed on 27 March 2088. Having 62 years remaining we calculated the premium to the landlord to extend the lease to be within £21,900 and £25,200 plus legals.
In 2009 we were contacted by Mrs L Morel who, having acquired a studio apartment in Bradley Stoke in September 2008. The question was if we could shed any light on how much (approximately) premium would be for a ninety year extension to my lease. Identical homes in Bradley Stoke with 100 year plus lease were valued around £174,200. The average amount of ground rent was £55 billed quarterly. The lease elapsed in 2077. Taking into account 51 years as a residual term we estimated the compensation to the landlord to extend the lease to be between £31,400 and £36,200 not including professional charges.