When it comes to residential leasehold property in Bradley Stoke, you are actually buying an entitlement to live in a property for a prescribed time frame. Modern flat leases are usually granted for 99 years or 125. Even though this may appear like a lengthy period of time, you should think about extending the lease sooner as opposed to later. The general rule is that the shorter the lease is the cost of extending the lease increases markedly particularly when there are less than eighty years left. Residents in Bradley Stoke with a lease nearing 81 years left should seriously consider extending it sooner as opposed to later. When a lease has under eighty years outstanding, under the relevant statute the landlord is entitled to calculate and charge a larger amount, based on a technical computation, strangely termed as “marriage value” which is due.
Leasehold properties in Bradley Stoke with over 100 years remaining on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such circumstances there is often little upside in buying the freehold unless savings on ground rent and maintenance charges merit it.
| Lender | Requirement |
|---|---|
| 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. |
| 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 |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Engaging our service gives you better control over the value of your Bradley Stoke leasehold, as your property will be more valuable and marketable in respect of lease length should you wish to sell. The lawyers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
In the wake of eight months of protracted discussions with the landlord of her garden flat in Bradley Stoke, Catherine commenced the lease extension process as the 80 year threshold was rapidly advancing. The legal work was concluded in February 2010. The landlord’s costs were negotiated to below five hundred GBP.
Last Winter we were phoned by Mr and Mrs. G Kelly , who purchased a basement apartment in Bradley Stoke in April 2011. The question was if we could estimate the compensation to the landlord could be to extend the lease by an additional years. Comparable residencies in Bradley Stoke with a long lease were in the region of £166,800. The average ground rent payable was £50 billed monthly. The lease came to a finish in 2076. Considering the 50 years left we calculated the premium to the landlord for the lease extension to be within £32,300 and £37,400 not including legals.
In 2009 we were phoned by Mr and Mrs. B Walker who, having moved into a first floor flat in Bradley Stoke in November 2010. We are asked if we could estimate the premium would be for a 90 year lease extension. Identical homes in Bradley Stoke with 100 year plus lease were in the region of £280,000. The average amount of ground rent was £45 billed quarterly. The lease came to a finish on 22 February 2096. Given that there were 70 years remaining we approximated the premium to the freeholder for the lease extension to be within £12,400 and £14,200 exclusive of professional charges.