When it comes to long leasehold property in Burnham On Crouch, you are in fact renting it for a certain amount of time. In recent years flat leases typically tend to be for 99 years or 125. Many leasehold owners become complacent as this seems like a long period of time, you should think about extending the lease sooner rather than later. The general rule is that the shorter the lease is the cost of extending the lease increases markedly particularly when there are less than eighty years left. Anyone in Burnham On Crouch with a lease drawing near to 81 years remaining should seriously consider extending it as soon as possible. Once the lease term has fewer than 80 years remaining, under the relevant Act the freeholder can calculate and charge a larger premium, assessed on a technical calculation, strangely termed as “marriage value” which is payable.
Leasehold properties in Burnham On Crouch with more than 100 years remaining on the lease are often regarded as a ‘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 buying the freehold unless savings on ground rent and estate charges merit it.
| Lender | Requirement |
|---|---|
| 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Irrespective of whether you are a tenant or a freeholder in Burnham On Crouch,the lease extension solicitors that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Burnham On Crouch valuers.
After lengthy discussions with the landlord of her leasehold apartment in Burnham On Crouch, Alisha initiated the lease extension process as the 80 year mark was quickly advancing. The legal work was finalised in August 2015. The freeholder’s fees were restricted to less than six hundred GBP.
In 2012 we were phoned by Mr Tommy Morgan who, having completed a one bedroom flat in Burnham On Crouch in June 2011. We are asked if we could approximate the premium would be to prolong the lease by a further 90 years. Identical homes in Burnham On Crouch with 100 year plus lease were in the region of £285,000. The average amount of ground rent was £55 billed quarterly. The lease expired on 19 August 2105. Having 80 years remaining we estimated the premium to the freeholder for the lease extension to be between £12,400 and £14,200 exclusive of legals.
In 2009 we were phoned by Dr Benjamin Davies who, having completed a studio apartment in Burnham On Crouch in September 2012. The question was if we could shed any light on how much (approximately) premium would likely be for a 90 year lease extension. Comparative homes in Burnham On Crouch with an extended lease were valued around £200,800. The average ground rent payable was £65 invoiced monthly. The lease concluded on 4 May 2085. Having 60 years left we calculated the compensation to the freeholder to extend the lease to be between £20,900 and £24,200 plus legals.