The only way is down when it comes to Ogmore By Sea lease terms. Ogmore By Sea flats that have a residual term fewer than eighty years will reduce in value at a rapid rate, and the cost to extend your lease will go up.
Leasehold premises in Ogmore By Sea with over 100 years left on the lease are often referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and maintenance charges justify it.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Chelsea Building Society | 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
Using our service will provide you increased control over the value of your Ogmore By Sea leasehold, as your property will be more valuable and saleable in terms of lease length should you wish to sell. The conveyancing solicitors that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
Zachary owned a high value apartment in Ogmore By Sea being marketed with a lease of fraction over 59 years outstanding. Zachary on an informal basis approached his landlord a well known Manchester-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 an increased rent to £50 yearly. No ground rent would be payable on a lease extension were Zachary to exercise his statutory right. Zachary procured expert advice and was able to make an informed decision and handle with the matter and sell the flat.
Last Summer we were called by Mr and Mrs. B Brown , who bought a studio flat in Ogmore By Sea in March 2001. The question was if we could shed any light on how much (approximately) price would likely be for a 90 year lease extension. Similar properties in Ogmore By Sea with an extended lease were worth £201,200. The average ground rent payable was £55 invoiced monthly. The lease expired on 18 March 2082. Having 56 years outstanding we calculated the premium to the landlord for the lease extension to be within £31,400 and £36,200 exclusive of expenses.
Mr P Green purchased a studio flat in Ogmore By Sea in May 2001. We are asked if we could shed any light on how much (roughly) price would be to prolong the lease by a further 90 years. Similar homes in Ogmore By Sea with 100 year plus lease were in the region of £300,000. The average ground rent payable was £50 billed annually. The lease ran out on 2 August 2102. Considering the 76 years as a residual term we estimated the premium to the freeholder to extend the lease to be within £8,600 and £9,800 exclusive of legals.