Brandon leases on residential properties are gradually losing value. if your lease has about ninety years remaining, you should start considering the need for a lease extension. Eighty years is a significant number: when the unexpired term of a lease drops below this level then you start incurring an additional element called marriage value. Leasehold owners in Brandon will mostly qualify for a lease extension; however a solicitor should be able check your eligibility. In certain circumstances you may not qualify. There are prescribed deadlines and procedures to comply with once the process has commenced so it’s sensible to be guided by a conveyancing solicitor during the process.
Leasehold properties in Brandon with more than one hundred years unexpired on the lease are often 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 upside in buying the reversionary interest unless savings on ground rent and maintenance charges warrant it.
| Lender | Requirement |
|---|---|
| Barclays plc | |
| Chelsea Building Society | |
| Leeds Building Society | |
| Skipton Building Society | |
| The Mortgage Works |
The conveyancers that we work with handle Brandon 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 lawyer we work with provide it.
Evan owned a high value apartment in Brandon being sold with a lease of fraction over 72 years unexpired. Evan informally contacted his freeholder 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 an increased rent to £100 per annum. No ground rent would be due on a lease extension were Evan to invoke his statutory right. Evan obtained expert advice and was able to make an informed judgement and deal with the matter and readily saleable.
In 2011 we were approached by Mr and Mrs. O Wright who, having purchased a one bedroom apartment in Brandon in April 2008. The question was if we could approximate the price could be for a 90 year lease extension. Identical residencies in Brandon with an extended lease were worth £254,200. The mid-range amount of ground rent was £60 collected monthly. The lease ran out in 2077. Having 51 years as a residual term we estimated the premium to the freeholder for the lease extension to be within £43,700 and £50,600 exclusive of costs.
Last May we were approach by Mr and Mrs. G Davies , who owned a one bedroom apartment in Brandon in August 2007. We are asked if we could approximate the premium would be for a ninety year extension to my lease. Identical premises in Brandon with 100 year plus lease were worth £210,600. The mid-range amount of ground rent was £45 collected quarterly. The lease lapsed on 18 January 2088. Considering the 62 years unexpired we approximated the compensation to the landlord to extend the lease to be between £18,100 and £20,800 exclusive of expenses.