St George leases on residential properties are gradually losing value. if your lease has in the region of 90 years left, you should start thinking about a lease extension. An important point to note is that it is desirable for your lease extension to be in place before the term of the current lease dips lower than 80 years - otherwise a higher amount will be payable. Flat owners in St George will mostly be legally entitled to a lease extension; however a solicitor should be able check if you qualify. In certain circumstances you may not qualify. There are also strict timetables and formalities to comply with once the process has started so it’s sensible to be guided by a conveyancing solicitor during the process.
Leasehold properties in St George with more than one hundred years unexpired on the lease are sometimes 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 buying the freehold unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| Barclays plc | |
| Chelsea Building Society | |
| Coventry Building Society | |
| Leeds Building Society | |
| Santander |
The lawyers that we work with handle St George lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The lawyer we work with provide it.
William was the the leasehold owner of a studio apartment in St George on the market with a lease of a few days over sixty years outstanding. William on an informal basis approached his landlord being a well known Bristol-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to grant an extension taking the lease to 125 years subject to a new rent initially set at £150 per annum and doubled every twenty five years thereafter. No ground rent would be due on a lease extension were William to exercise his statutory right. William procured expert advice and was able to make a more informed decision and handle with the matter and ending up with a market value flat.
In 2009 we were phoned by Mr P Turner who, having bought a recently refurbished apartment in St George in August 1995. The question was if we could shed any light on how much (approximately) premium could be to extend the lease by an additional years. Comparable residencies in St George with a long lease were in the region of £250,400. The mid-range amount of ground rent was £65 collected quarterly. The lease finished in 2090. Having 64 years unexpired we estimated the premium to the landlord to extend the lease to be between £19,000 and £22,000 not including fees.
Last Christmas we were contacted by Dr B Martínez , who moved into a one bedroom apartment in St George in April 2006. The dilemma was if we could estimate the price would be to extend the lease by a further 90 years. Identical properties in St George with an extended lease were in the region of £184,000. The mid-range ground rent payable was £55 invoiced every twelve months. The lease terminated in 2079. Given that there were 53 years remaining we approximated the compensation to the landlord to extend the lease to be within £28,500 and £33,000 plus costs.