St Bees leases on residential properties are gradually losing value. Where your lease has approximately ninety years left, you should start considering the need for a lease extension. If lease term falls under 80 years, you will then have to pay half of the property's 'marriage value' in addition to the usual cost of the lease extension to your landlord. Marriage value is the amount of additional value that a lease extension will add to the property. Leasehold owners in St Bees will mostly 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 be entitled. There are prescribed timetables and procedures to comply with once the process is triggered so it’s wise to be guided by a conveyancer during the process.
It is conventional wisdom that a property with over one hundred years remaining is worth approximately the equivalent as a freehold. Where an further 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 | 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. |
| 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. |
| Halifax | Minimum 70 years from the date 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 |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Lease extensions in St Bees can be a difficult process. We recommend you obtain guidance from a conveyancer and surveyor well versed in the legislation and lease extension process.
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 a wealth of experience procuring St Bees lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Trailing unsuccessful discussions with the freeholder of her studio flat in St Bees, Jade initiated the lease extension process just as her lease was nearing the all-important 80-year deadline. The legal work was finalised in January 2014. The freeholder’s costs were kept to an absolute minimum.
Mr and Mrs. T Nelson completed a one bedroom apartment in St Bees in April 2010. The dilemma was if we could approximate the premium would be to extend the lease by ninety years. Similar flats in St Bees with an extended lease were in the region of £205,000. The average amount of ground rent was £50 invoiced annually. The lease expiry date was on 26 November 2104. Taking into account 79 years remaining we approximated the compensation to the landlord for the lease extension to be within £8,600 and £9,800 plus fees.
In 2010 we were contacted by Mr and Mrs. Y Lefèvre who, having completed a ground floor apartment in St Bees in February 2005. The question was if we could approximate the premium would likely be for a ninety year extension to my lease. Comparative flats in St Bees with an extended lease were valued around £275,000. The average ground rent payable was £65 invoiced monthly. The lease lapsed on 20 September 2093. Considering the 68 years outstanding we approximated the premium to the landlord to extend the lease to be between £12,400 and £14,200 exclusive of fees.