Brixworth leases on residential properties are gradually diminishing in value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of the lease gets more expensive. Legislation has been in place for sometime now allowing qualifying Brixworth residential leaseholders to extend the terms of long leases. If you are a leasehold owner in Brixworth you really ought to investigate if your lease has between 70 and 90 years remaining. There are good reasons why a Brixworth leaseholder with a lease having around 80 years remaining should take action to ensure that a lease extension is put in place without delay
Leasehold properties in Brixworth with in excess of 100 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 service charges warrant it.
| Lender | Requirement |
|---|---|
| Barclays plc | |
| Godiva Mortgages | |
| Halifax | |
| Santander | |
| TSB |
Regardless of whether you are a tenant or a landlord in Brixworth,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 Brixworth valuers.
Following unsuccessful negotiations with the freeholder of her leasehold apartment in Brixworth, Maisie initiated the lease extension process as the 80 year deadline was fast coming. The transaction was finalised in August 2011. The landlord’s charges were restricted to a tad over 600 GBP.
In 2009 we were e-mailed by Mr and Mrs. O Bailey who, having owned a garden apartment in Brixworth in April 2010. The dilemma was if we could shed any light on how much (roughly) premium would be for a ninety year extension to my lease. Comparative residencies in Brixworth with a long lease were valued around £270,000. The average ground rent payable was £55 invoiced monthly. The lease end date was in 2102. Taking into account 76 years as a residual term we calculated the premium to the landlord for the lease extension to be between £9,500 and £11,000 exclusive of costs.
In 2009 we were phoned by Dr E Hernández who, having took over the lease of a one bedroom apartment in Brixworth in October 2009. The question was if we could approximate the compensation to the landlord would likely be for a 90 year extension to my lease. Comparative residencies in Brixworth with a long lease were worth £176,200. The average amount of ground rent was £65 invoiced per annum. The lease elapsed on 1 January 2082. Having 56 years as a residual term we approximated the compensation to the landlord for the lease extension to be within £29,500 and £34,000 exclusive of professional charges.