With a residential leasehold premises in Bramford, you are actually buying a right to live in a property for a prescribed time frame. In recent years flat leases typically tend to be for 99 years or 125. Many leasehold owners become complacent as this seems like a lengthy period of time, you may think about extending the lease sooner rather than 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 80 years left. Residents in Bramford with a lease approaching 81 years left should seriously think of extending it sooner as opposed to later. When a lease has under eighty years left, under the current Act the landlord can calculate and levy a larger premium, based on a technical calculation, strangely termed as “marriage value” which is due.
Leasehold premises in Bramford with more than 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 home. In such situations there is often little to be gained by purchasing the freehold unless savings on ground rent and service charges justify 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must be at least 75 years plus the term of the mortgage at the outset 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 |
Lease extensions in Bramford can be a difficult process. We recommend you secure professional help from a conveyancing solicitor 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 in-depth market knowledge dealing with Bramford lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Sam owned a conversion apartment in Bramford on the market with a lease of just over 59 years left. Sam on an informal basis spoke with his landlord being a well known local-based freehold company and enquired on a premium to extend the lease. The landlord was keen to agree an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent initially set at £200 per annum and increase every 25 years thereafter. Ordinarily, ground rent would not be due on a lease extension were Sam to exercise his statutory right. Sam procured expert legal guidance and secured satisfactory deal informally and ending up with a market value flat.
In 2010 we were approached by Dr Callum Edwards who, having was assigned a lease of a basement flat in Bramford in February 2001. The dilemma was if we could shed any light on how much (roughly) price could be for a ninety year extension to my lease. Comparative flats in Bramford with a long lease were valued around £265,000. The mid-range ground rent payable was £50 invoiced quarterly. The lease expired on 10 June 2099. Having 73 years unexpired we approximated the compensation to the landlord for the lease extension to be between £9,500 and £11,000 exclusive of professional charges.
In 2013 we were approached by Dr Finley Lewis who, having acquired a first floor apartment in Bramford in January 1995. We are asked if we could estimate the price would likely be to extend the lease by 90 years. Comparative premises in Bramford with a long lease were in the region of £264,000. The mid-range amount of ground rent was £60 collected yearly. The lease elapsed on 26 June 2079. Having 53 years as a residual term we approximated the premium to the landlord for the lease extension to be between £37,100 and £42,800 not including costs.