Bridlington leases on domestic deteriorating in value. if your lease has about ninety years remaining, you should start considering the need for a lease extension. An important point to note is that it is financially advisable for your lease extension to take place before the term of the existing lease drops lower than 80 years - otherwise a higher premium will be payable. Flat owners in Bridlington will usually be legally entitled to a lease extension; however a solicitor should be able confirm your eligibility. In certain situations you may not be entitled. 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 premises in Bridlington with over one hundred years left 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 home. In such circumstances there is often little upside in purchasing the freehold unless savings on ground rent and estate charges warrant it.
| Lender | Requirement |
|---|---|
| Coventry Building Society | 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. |
| Halifax | Minimum 70 years from the date 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 |
| 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. |
The conveyancing solicitors that we work with handle Bridlington 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 conveyancer we work with provide it.
Subsequent to lengthy correspondence with the landlord of her one bedroom apartment in Bridlington, Sarah started the lease extension process as the 80 year mark was fast nearing. The legal work was concluded in October 2007. The landlord’s fees were kept to an absolute minimum.
Last month we were contacted by Mrs P Morris , who took over the lease of a studio apartment in Bridlington in February 2007. We are asked if we could estimate the price would likely be for a ninety year lease extension. Identical properties in Bridlington with an extended lease were worth £280,000. The average ground rent payable was £45 invoiced annually. The lease terminated on 3 June 2092. Considering the 70 years outstanding we calculated the premium to the freeholder to extend the lease to be between £12,400 and £14,200 exclusive of costs.
Dr T Bell acquired a ground floor flat in Bridlington in June 2005. The question was if we could approximate the premium would be for a ninety year extension to my lease. Comparable residencies in Bridlington with a long lease were in the region of £223,400. The mid-range amount of ground rent was £60 invoiced per annum. The lease lapsed on 18 July 2081. Taking into account 59 years unexpired we estimated the compensation to the landlord to extend the lease to be between £27,600 and £31,800 plus fees.