It’s a harsh truth that a Brixham residential lease is a deteriorating asset. As the lease term reduces so does the value of the property. The extent of this is not fully appreciated in the early years due to the deflation being disguised by increases in the Brixham property market.Where your lease has approximately ninety years left, you need to start thinking about a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease falls lower than 80 years - otherwise a higher premium will be due. Most flat owners in Brixham will be able to extend under the legislation; however a conveyancing solicitor will be able to clarify if you are eligibility. In some cases you may not qualify. There are also strict deadlines and procedures to follow once the process has commenced and you will need to be guided by your conveyancer for the duration of the process.
It is conventional wisdom that a property with over one hundred years remaining is worth roughly the equivalent as a freehold. Where an additional 90 years added to all but the shortest lease, the residence will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Chelsea Building Society | |
| Coventry Building Society | |
| TSB | |
| The Mortgage Works |
Lease extensions in Brixham can be a difficult process. We recommend you get professional help from a lawyer and valuer well versed in the legislation and lease extension process.
We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have a wealth of experience dealing with Brixham lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Callum was the the leasehold proprietor of a high value apartment in Brixham being sold with a lease of a few days over sixty years left. Callum on an informal basis approached his landlord a well known Bristol-based freehold company and enquired on a premium to extend the lease. The freeholder was keen to agree an extension on non-statutory terms taking the lease to 125 years subject to an increased rent to £200 yearly. Ordinarily, ground rent would not be payable on a lease extension were Callum to exercise his statutory right. Callum procured expert advice and secured an acceptable deal without going to tribunal and readily saleable.
Last Spring we were contacted by Mr P Lambert , who owned a basement flat in Brixham in October 2007. We are asked if we could approximate the price could be for a ninety year extension to my lease. Identical homes in Brixham with 100 year plus lease were in the region of £275,000. The mid-range ground rent payable was £55 collected every twelve months. The lease finished on 28 November 2102. Having 76 years left we estimated the compensation to the freeholder for the lease extension to be within £9,500 and £11,000 plus expenses.
Last Summer we were approach by Ms Alice Wright , who purchased a basement apartment in Brixham in August 2002. The question was if we could approximate the premium could be to prolong the lease by an additional years. Comparable properties in Brixham with 100 year plus lease were valued about £176,200. The average amount of ground rent was £65 billed yearly. The lease concluded on 2 January 2082. Taking into account 56 years remaining we approximated the compensation to the freeholder for the lease extension to be within £29,500 and £34,000 exclusive of costs.