With a long leasehold property in Brynmill, you are actually buying an entitlement to live in a property for a set period of time. Modern flat leases typically tend to be for 99 years or 125. Even though this may appear like a long period of time, you should think about a lease extension sooner rather than later. Accepted thinking is that the shorter the lease is the cost of extending the lease increases markedly especially once there are less than 80 years left. Leasehold owners in Brynmill with a lease nearing 81 years left should seriously think of extending it as soon as possible. Once the lease term has under eighty years left, under the current legislation the freeholder can calculate and demand a greater premium, based on a technical multiplication, strangely termed as “marriage value” which is due.
It is conventional wisdom that a property with more than one hundred years unexpired lease term 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 many years in the future.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Bank of Scotland | |
| Birmingham Midshires | |
| Leeds Building Society | |
| Santander |
Engaging our service will provide you increased control over the value of your Brynmill leasehold, as your property will be more valuable and marketable in terms of lease length should you want to sell. The conveyancers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
Caleb owned a conversion flat in Brynmill on the market with a lease of just over 72 years outstanding. Caleb informally spoke with his landlord a well known London-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to grant an extension taking the lease to 125 years on the basis of a rise in the rent to £125 annually. Ordinarily, ground rent would not be due on a lease extension were Caleb to invoke his statutory right. Caleb procured expert advice and was able to make a more informed decision and deal with the matter and ending up with a market value flat.
Last May we were contacted by Mr and Mrs. O Petit , who bought a garden flat in Brynmill in October 2006. We are asked if we could shed any light on how much (approximately) price would be for a ninety year extension to my lease. Similar residencies in Brynmill with 100 year plus lease were worth £203,200. The average ground rent payable was £65 collected monthly. The lease elapsed on 3 February 2087. Having 61 years outstanding we estimated the compensation to the landlord for the lease extension to be within £19,000 and £22,000 plus expenses.
In 2011 we were phoned by Mrs Elizabeth Anderson who, having bought a studio apartment in Brynmill in June 2011. The question was if we could approximate the compensation to the landlord could be to prolong the lease by an additional years. Comparative properties in Brynmill with 100 year plus lease were worth £260,000. The mid-range amount of ground rent was £50 collected every twelve months. The lease elapsed in 2098. Having 72 years left we approximated the premium to the freeholder for the lease extension to be within £9,500 and £11,000 exclusive of costs.