Burnham leases on residential properties are gradually losing value. if your lease has in the region of ninety years unexpired, you should start considering the need for a lease extension. An important point to note is that it is financially advisable for your lease extension to be in place before the term of the current lease dips below eighty years - otherwise a higher amount will be payable. Flat owners in Burnham will usually be legally entitled to a lease extension; however it’s a good idea to check with a lawyer to confirm if you qualify. In some situations you may not qualify. There are prescribed timetables and steps to comply with once the process has commenced so it’s best to be guided by a conveyancer during the process.
Leasehold premises in Burnham with over one hundred years left on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such circumstances there is often little to be gained by buying the freehold unless savings on ground rent and service charges warrant it.
| Lender | Requirement |
|---|---|
| Barclays plc | |
| Coventry Building Society | |
| Godiva Mortgages | |
| Santander | |
| TSB |
Retaining our service gives you increased control over the value of your Burnham leasehold, as your property will be more valuable and saleable in terms of lease length should you want to sell. The conveyancing solicitors that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
16 months ago Luca, came seriously close to the 80-year threshold with the lease on his basement flat in Burnham. In buying his home 18 years previously, the length of the lease was of minimal significance. Thankfully, he recognised he needed to take action soon on a lease extension. Luca extended the lease just in the nick of time last August. Luca and the landlord eventually settled on sum of £5,500 . If the lease had dropped below eighty years, the price would have gone up by at least £1,025.
Last Summer we were contacted by Mr and Mrs. L Lewis , who acquired a studio flat in Burnham in January 2001. The dilemma was if we could approximate the compensation to the landlord would be for a ninety year extension to my lease. Comparative properties in Burnham with 100 year plus lease were valued about £200,000. The mid-range amount of ground rent was £50 billed yearly. The lease termination date was in 2104. Considering the 78 years remaining we estimated the compensation to the landlord for the lease extension to be within £8,600 and £9,800 not including professional charges.
In 2009 we were phoned by Mr and Mrs. R Walker who, having bought a basement flat in Burnham in September 1999. The dilemma was if we could approximate the premium would likely be for a 90 year extension to my lease. Identical homes in Burnham with an extended lease were in the region of £267,600. The average amount of ground rent was £65 collected quarterly. The lease ended in 2093. Having 67 years unexpired we calculated the premium to the freeholder for the lease extension to be between £14,300 and £16,400 exclusive of professional charges.