Chances are that if you own a flat in Brixworth you actually own a long leasehold interest over your property
Leasehold premises in Brixworth with in excess of one hundred years remaining on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such situations there is often little to be gained by buying the freehold unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| 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. |
| Godiva Mortgages | 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. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
| 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. |
Engaging our service gives you better control over the value of your Brixworth leasehold, as your property will be more valuable and saleable in terms of lease length should you wish to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
Harvey was the the leasehold owner of a studio flat in Brixworth being marketed with a lease of a few days over sixty years unexpired. Harvey informally contacted his freeholder a well known Bristol-based freehold company for a lease extension. The landlord indicated a willingness to extend the lease to 125 years subject to an increased rent to £50 per annum. No ground rent would be due on a lease extension were Harvey to exercise his statutory right. Harvey obtained expert legal guidance and was able to make a more informed judgement and deal with the matter and readily saleable.
Dr Alexander Ramírez was assigned a lease of a newly refurbished apartment in Brixworth in May 2005. The dilemma was if we could shed any light on how much (roughly) compensation to the landlord would be to extend the lease by an additional years. Comparable flats in Brixworth with 100 year plus lease were in the region of £265,000. The mid-range amount of ground rent was £50 billed yearly. The lease came to a finish on 13 September 2100. Having 74 years unexpired we calculated the compensation to the landlord to extend the lease to be between £9,500 and £11,000 exclusive of fees.
Mr and Mrs. M Roux moved into a ground floor flat in Brixworth in September 1999. We are asked if we could approximate the compensation to the landlord would likely be for a ninety year lease extension. Similar residencies in Brixworth with a long lease were in the region of £166,400. The average amount of ground rent was £60 collected quarterly. The lease elapsed on 23 September 2080. Given that there were 54 years outstanding we estimated the compensation to the landlord for the lease extension to be within £32,300 and £37,400 not including expenses.