Broxbourne leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of your lease gets more expensive. Most owners of residential leasehold property in Broxbourne enjoy rights under legislation to extend the terms of their leases. If you are a leasehold owner in Broxbourne you should check if your lease has between seventy and 90 years remaining. There are compelling reasons why a Broxbourne flat owner with a lease having around 80 years left should take steps to make sure that a lease extension is actioned without delay
Leasehold properties in Broxbourne with more than one hundred years outstanding on the lease are often referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such circumstances there is often little upside in purchasing the freehold unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| Barclays plc | |
| Halifax | |
| Leeds Building Society | |
| National Westminster Bank | |
| Royal Bank of Scotland |
Lease extensions in Broxbourne can be a difficult process. We recommend you get professional help from a lawyer and surveyor with experience in this area.
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 in-depth market knowledge dealing with Broxbourne lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Luke owned a 2 bedroom apartment in Broxbourne on the market with a lease of a few days over sixty years left. Luke on an informal basis contacted his freeholder a well known Bristol-based freehold company and enquired on a premium to extend the lease. The landlord was keen to grant an extension on non-statutory terms taking the lease to 125 years subject to a new rent initially set at £200 per annum and increase every 25 years thereafter. No ground rent would be payable on a lease extension were Luke to exercise his statutory right. Luke procured expert advice and was able to make a more informed decision and handle with the matter and sell the property.
Last Winter we were contacted by Dr S Dupont , who moved into a one bedroom flat in Broxbourne in September 2004. We are asked if we could approximate the compensation to the landlord could be to extend the lease by a further 90 years. Comparative homes in Broxbourne with 100 year plus lease were valued about £246,800. The average ground rent payable was £60 billed monthly. The lease elapsed in 2076. Taking into account 50 years outstanding we calculated the compensation to the freeholder to extend the lease to be between £44,700 and £51,600 exclusive of expenses.
Last month we were called by Dr Lucy Garcia , who owned a one bedroom flat in Broxbourne in March 2012. The question was if we could shed any light on how much (roughly) premium could be for a 90 year extension to my lease. Similar premises in Broxbourne with an extended lease were in the region of £208,200. The mid-range ground rent payable was £65 invoiced quarterly. The lease came to a finish in 2087. Taking into account 61 years left we approximated the premium to the landlord to extend the lease to be between £20,000 and £23,000 not including fees.