Owning a apartment usually means owning a lease of the property, this is a ‘time-limited’ interest becoming shorter every day. This lease will ordinarily be granted for a fixed period of time , usually 99 or 125 years, although we have seen longer and shorter terms in St Brides Major. Clearly, the length of lease remaining shortens as time goes by. This is often overlooked and only becomes a problem when the residence has to be sold or re-mortgaged. The fewer the years remaining the lower the value of the property and the more it will cost to procure a lease extension. Eligible long lease owners in St Brides Major have the right to extend the lease for a further ninety years in accordance with the 1993 Leasehold Reform Act. Do give due deliberation before putting off your St Brides Major lease extension. Holding off the cost now simply increases the price you will ultimately have to pay to extend your lease
Leasehold premises in St Brides Major with more than one hundred years outstanding 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 home. In such situations there is often little upside in buying the freehold unless savings on ground rent and estate charges merit it.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | |
| Godiva Mortgages | |
| Leeds Building Society | |
| Santander | |
| Virgin |
Lease extensions in St Brides Major can be a difficult process. We recommend you obtain guidance from a conveyancing solicitor 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 dealing with St Brides Major lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Rory owned a 2 bedroom apartment in St Brides Major being sold with a lease of a little over 61 years outstanding. Rory informally approached his freeholder being a well known London-based freehold company for a lease extension. The landlord indicated a willingness to extend the lease to 125 years on the basis of a new rent to start with set at £200 per annum and increase every 25 years thereafter. Ordinarily, ground rent would not be payable on a lease extension were Rory to invoke his statutory right. Rory procured expert advice and secured satisfactory deal informally and readily saleable.
In 2012 we were contacted by Dr F Nelson who, having acquired a garden apartment in St Brides Major in October 2011. We are asked if we could estimate the premium would likely be for a 90 year extension to my lease. Identical properties in St Brides Major with an extended lease were worth £189,000. The mid-range ground rent payable was £55 invoiced every twelve months. The lease ran out in 2079. Given that there were 53 years outstanding we approximated the compensation to the freeholder to extend the lease to be between £28,500 and £33,000 plus expenses.
Last month we were phoned by Ms B Gómez , who bought a newly refurbished apartment in St Brides Major in May 1997. The question was if we could shed any light on how much (approximately) price could be for a ninety year lease extension. Comparable residencies in St Brides Major with an extended lease were in the region of £290,000. The average amount of ground rent was £45 billed monthly. The lease lapsed on 17 October 2099. Considering the 73 years remaining we estimated the premium to the landlord to extend the lease to be between £8,600 and £9,800 plus legals.