When it comes to residential leasehold property in Burnham, 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 lengthy period of time, you may consider extending the lease sooner rather than later. Accepted thinking is that the shorter the number of years is the cost of extending the lease gets disproportionately greater particularly when there are fewer than 80 years left. Residents in Burnham with a lease approaching 81 years unexpired should seriously consider extending it sooner as opposed to later. When the lease term has under 80 years remaining, under the current Act the landlord can calculate and levy a larger premium, assessed on a technical computation, strangely termed as “marriage value” which is due.
It is conventional wisdom that a residential leasehold with more than one hundred years remaining is worth roughly the equivalent as a freehold. Where an further ninety years added to all but the shortest lease, the premises will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Birmingham Midshires | |
| The Mortgage Works | |
| Virgin | |
| Yorkshire Building Society |
Lease extensions in Burnham can be a difficult process. We recommend you procure 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 procuring Burnham lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Finn owned a 2 bedroom flat in Burnham on the market with a lease of a little over 72 years unexpired. Finn on an informal basis approached his freeholder being a well known Bristol-based freehold company for a lease extension. The freeholder indicated a willingness to grant an extension taking the lease to 125 years on the basis of a new rent initially set at £150 per annum and increase every 25 years thereafter. Ordinarily, ground rent would not be due on a lease extension were Finn to invoke his statutory right. Finn obtained expert legal guidance and was able to make an informed judgement and handle with the matter and sell the flat.
In 2012 we were approached by Mr and Mrs. B Lefèvre who, having was assigned a lease of a purpose-built apartment in Burnham in February 1996. The question was if we could approximate the premium would likely be to extend the lease by ninety years. Identical flats in Burnham with a long lease were worth £260,200. The average amount of ground rent was £65 billed quarterly. The lease expired on 26 May 2092. Having 66 years unexpired we estimated the compensation to the landlord to extend the lease to be between £16,200 and £18,600 not including professional charges.
Mr and Mrs. B Nguyen acquired a ground floor flat in Burnham in February 2001. The dilemma was if we could estimate the price would likely be to extend the lease by 90 years. Comparative residencies in Burnham with 100 year plus lease were valued around £198,800. The mid-range ground rent payable was £55 collected yearly. The lease expired in 2081. Taking into account 55 years left we calculated the premium to the freeholder to extend the lease to be between £33,300 and £38,400 not including expenses.