As the length of the unexpired term of a Brentwood residential lease decreases so does its value and therefore the value of your property. Where the lease has, more than 100 years to run then this decrease may be negligible nevertheless there will become a point in time when a lease has fewer than 80 years left 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 consider extending without delay. Many flat owners in Brentwood will qualify for this right; that being said a conveyancing solicitor can advise if you are eligible to extend your lease. In limited situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.
It is generally considered that a residential leasehold with more than 100 years unexpired lease term is worth roughly the same as a freehold. Where an additional 90 years added to any lease with more than 30 years unexpired, the residence will be equivalent in value to a freehold for many years ahead.
| 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. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| 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. |
| 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. |
Regardless of whether you are a tenant or a landlord in Brentwood,the lease extension experts that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Brentwood valuers.
Andrew was the the leasehold owner of a high value flat in Brentwood on the market with a lease of fraction over 59 years left. Andrew on an informal basis contacted his landlord being a well known Bristol-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 £50 per annum. Ordinarily, ground rent would not be due on a lease extension were Andrew to invoke his statutory right. Andrew obtained expert legal guidance and was able to make an informed decision and handle with the matter and sell the flat.
Mr and Mrs. Y Lewis moved into a one bedroom apartment in Brentwood in March 2009. The question was if we could estimate the premium would be to extend the lease by ninety years. Comparative flats in Brentwood with a long lease were worth £261,600. The mid-range amount of ground rent was £60 billed every twelve months. The lease concluded on 11 January 2078. Considering the 52 years as a residual term we estimated the premium to the freeholder to extend the lease to be within £39,000 and £45,000 exclusive of professional charges.
An example of a Lease Extension case for a Brentwood residence is 37 Lodge Court High Street in November 2013. the decision of the LVT was that the premium to be paid for the new lease was £25,559 This case related to 1 flat. The unexpired term was 57.5 years.