Owning a apartment usually means owning a lease of the property, which has a set term of years. The lease will normally be granted for a set period of time , usually 99 or 125 years, although we have come across longer and shorter terms in Bradwell. Clearly, the period of lease left reduces over time. This is often overlooked and only raises itself as an issue when the flat or house needs to be sold or refinanced. The shorter the lease the lower the value of the property and the more it will cost to obtain a lease extension. Eligible long lease owners in Bradwell have the right to extend the lease for a further 90 years under the 1993 Leasehold Reform Act. Do give careful attention before delaying your Bradwell lease extension. Holding off the cost now simply increases the price you will eventually incur to extend your lease
Leasehold premises in Bradwell with more than one hundred years unexpired on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such situations there is often little upside in buying the reversionary interest unless savings on ground rent and estate charges merit it.
| Lender | Requirement |
|---|---|
| Godiva Mortgages | A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion. |
| Leeds Building Society | 85 years remaining from the start 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 |
| 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. |
Lease extensions in Bradwell can be a difficult process. We recommend you procure professional help from a conveyancer and surveyor 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 Bradwell lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
In the wake of 6 months of lengthy negotiations with the freeholder of her garden flat in Bradwell, Freya initiated the lease extension process just as her lease was nearing the critical eighty-year threshold. The legal work was finalised in November 2010. The landlord’s fees were negotiated to about 500 pounds.
Dr F Cooper acquired a newly refurbished flat in Bradwell in February 1996. We are asked if we could shed any light on how much (roughly) premium would be for a ninety year lease extension. Comparative residencies in Bradwell with 100 year plus lease were valued around £248,000. The mid-range amount of ground rent was £65 invoiced per annum. The lease end date was in 2089. Given that there were 63 years unexpired we calculated the compensation to the freeholder to extend the lease to be between £20,000 and £23,000 exclusive of costs.
In 2011 we were called by Mr and Mrs. P Hill who, having purchased a garden flat in Bradwell in September 2009. The question was if we could estimate the premium could be to extend the lease by an additional years. Comparable homes in Bradwell with an extended lease were valued about £181,600. The mid-range ground rent payable was £55 collected every twelve months. The lease concluded in 2078. Considering the 52 years left we calculated the compensation to the landlord for the lease extension to be within £30,400 and £35,200 exclusive of costs.