With a domestic leasehold property in Bridport, you are actually purchasing an entitlement to reside in a property for a set period of time. Modern flat leases typically tend to be for 99 years or 125. Many leasehold owners become complacent as this seems like a long period of time, you should think about a lease extension sooner as opposed to later. Accepted thinking is that the shorter the number of years is the cost of extending the lease becomes disproportionately more expensive notably when there are less than eighty years remaining. Anyone in Bridport with a lease nearing 81 years remaining should seriously think of extending it sooner as opposed to later. Once a lease has under eighty years outstanding, under the relevant legislation the freeholder is entitled to calculate and demand a greater amount, assessed on a technical calculation, known as “marriage value” which is due.
Leasehold premises in Bridport with in excess of one hundred years left on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and estate charges warrant it.
| Lender | Requirement |
|---|---|
| Halifax | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Regardless of whether you are a tenant or a freeholder in Bridport,the lease extension lawyers that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Bridport valuers.
Trailing unsuccessful negotiations with the freeholder of her basement apartment in Bridport, Lauren initiated the lease extension process as the eighty year threshold was swiftly approaching. The transaction completed in October 2013. The freeholder’s costs were negotiated to about 550 GBP.
Mrs Tia Rivera purchased a basement apartment in Bridport in September 2007. We are asked if we could approximate the premium could be for a ninety year extension to my lease. Comparative flats in Bridport with a long lease were worth £233,200. The mid-range amount of ground rent was £60 billed monthly. The lease terminated in 2086. Considering the 61 years as a residual term we calculated the compensation to the freeholder for the lease extension to be within £22,800 and £26,400 exclusive of legals.
Last Autumn we were contacted by Mr and Mrs. G Turner , who owned a newly refurbished apartment in Bridport in September 1998. We are asked if we could approximate the price could be to prolong the lease by a further 90 years. Similar properties in Bridport with a long lease were valued around £171,800. The mid-range amount of ground rent was £55 collected every twelve months. The lease ran out on 17 February 2075. Given that there were 50 years outstanding we approximated the premium to the landlord to extend the lease to be within £33,300 and £38,400 not including professional charges.