Stamford Bridge leases on residential properties are gradually diminishing in value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of the lease gets more expensive. Legislation has been in place for sometime now which entitles qualifying Stamford Bridge residential leaseholders to extend the terms of long leases. If you are a leasehold owner in Stamford Bridge you should check if your lease has between 70 and 90 years left. There are good reasons why a Stamford Bridge flat owner with a lease having around eighty years remaining should take steps to ensure that a lease extension is put in place without delay
Leasehold properties in Stamford Bridge with in excess of 100 years remaining on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such circumstances there is often little to be gained by buying the freehold unless savings on ground rent and service charges warrant it.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Coventry Building Society | A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion. |
| 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 |
| Yorkshire 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. |
Lease extensions in Stamford Bridge can be a difficult process. We recommend you procure 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 a wealth of experience dealing with Stamford Bridge lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Edward was the the leasehold owner of a 2 bedroom flat in Stamford Bridge being sold with a lease of fraction over 59 years outstanding. Edward informally spoke with his landlord a well known London-based freehold company for a lease extension. The landlord 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 Edward to exercise his statutory right. Edward procured expert legal guidance and was able to make a more informed judgement and handle with the matter and sell the property.
In 2014 we were called by Dr B Pérez who, having moved into a ground floor apartment in Stamford Bridge in September 2012. We are asked if we could shed any light on how much (roughly) price would likely be for a 90 year lease extension. Comparable premises in Stamford Bridge with 100 year plus lease were worth £250,000. The average amount of ground rent was £50 invoiced yearly. The lease ended on 14 January 2094. Having 69 years unexpired we calculated the compensation to the landlord for the lease extension to be between £9,500 and £11,000 exclusive of professional charges.
Last Winter we were approach by Dr David Murphy , who purchased a one bedroom flat in Stamford Bridge in March 2005. We are asked if we could estimate the compensation to the landlord would likely be for a 90 year extension to my lease. Similar flats in Stamford Bridge with an extended lease were worth £285,000. The average ground rent payable was £55 collected yearly. The lease lapsed in 2105. Taking into account 80 years remaining we estimated the compensation to the freeholder to extend the lease to be within £12,400 and £14,200 exclusive of professional charges.