When it comes to residential leasehold premises in Brighouse, you are actually purchasing an entitlement to live in a property for a set period of time. In recent years flat leases typically tend to be for 99 years or 125. Many leasehold owners are unconcerned as this seems like a lengthy period of time, you may consider a lease extension sooner as opposed to later. Accepted thinking is that the shorter the lease is the cost of extending the lease gets disproportionately more expensive especially when there are less than eighty years left. Anyone in Brighouse with a lease drawing near to 81 years left should seriously consider extending it as soon as possible. Once a lease has below eighty years left, under the current Act the freeholder is entitled to calculate and levy a larger premium, based on a technical multiplication, known as “marriage value” which is due.
It is conventional wisdom that a residential leasehold with over one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the property will be worth the same as 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. |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| 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. |
Irrespective of whether you are a tenant or a freeholder in Brighouse,the lease extension lawyers that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Brighouse valuers.
In 2014 Connor, came precariously close to the eighty-year mark with the lease on his garden flat in Brighouse. In buying his flat twenty years previously, the unexpired term was of minimal concern. Luckily, it dawned on him that he needed to take action soon on Extending the lease. Connor arranged for a lease extension just under the wire in March. Connor and the freeholder via the management company eventually settled on a premium of £6,000 . If he failed to meet the deadline, the price would have become more costly by at least £1,050.
In 2010 we were e-mailed by Ms Ellie Campbell who, having bought a ground floor apartment in Brighouse in February 2006. We are asked if we could approximate the compensation to the landlord could be to extend the lease by ninety years. Similar properties in Brighouse with a long lease were valued around £280,000. The mid-range ground rent payable was £45 billed annually. The lease came to a finish on 24 July 2095. Taking into account 70 years remaining we calculated the premium to the freeholder for the lease extension to be within £12,400 and £14,200 exclusive of costs.
In 2009 we were contacted by Ms E Mason who, having moved into a one bedroom apartment in Brighouse in July 2011. We are asked if we could approximate the price would be to prolong the lease by a further 90 years. Comparable flats in Brighouse with a long lease were valued around £223,400. The mid-range amount of ground rent was £60 invoiced yearly. The lease came to a finish on 10 March 2084. Considering the 59 years unexpired we calculated the compensation to the landlord for the lease extension to be within £27,600 and £31,800 plus legals.