Stamford Bridge leases on domestic deteriorating in value. if your lease has in the region of ninety years left, you should start considering the need for a lease extension. If lease term is under 80 years, you will then be required to pay 50% of the property's 'marriage value' in addition to the standard cost of the lease extension to the landlord. Marriage value is the amount of additional value that a lease extension will add to the property. Flat owners in Stamford Bridge will mostly qualify for a lease extension; however a solicitor should be able check your eligibility. In certain cases you may not be entitled. There are prescribed timetables and procedures to comply with once the process is triggered so it’s best to be guided by a conveyancer during the process.
Leasehold premises in Stamford Bridge with more than 100 years left 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 premises. In such situations there is often little upside in purchasing the reversionary interest unless savings on ground rent and maintenance charges warrant it.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| 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. |
| 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 |
The lawyers that we work with procure Stamford Bridge 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.
Last October Jackson, came perilously near to the 80-year threshold with the lease on his studio apartment in Stamford Bridge. Having bought his flat two decades ago, the length of the lease was of no concern. Luckily, he recognised he would imminently be paying an inflated amount for Extending the lease. Jackson arranged for a lease extension just under the wire in May. Jackson and the freeholder in the end settled on an amount of £5,000 . If he had missed the deadline, the figure would have gone up by at least £950.
Last month we were called by Mr Owen Evans , who completed a newly refurbished apartment in Stamford Bridge in August 1998. The dilemma was if we could approximate the compensation to the landlord would be for a ninety year lease extension. Identical properties in Stamford Bridge with an extended lease were in the region of £270,000. The mid-range amount of ground rent was £55 collected monthly. The lease concluded on 4 January 2101. Taking into account 75 years outstanding we approximated the compensation to the landlord for the lease extension to be between £9,500 and £11,000 not including professional charges.
Last Christmas we were called by Mr U Leroy , who purchased a purpose-built flat in Stamford Bridge in May 2002. The question was if we could estimate the premium would be to extend the lease by ninety years. Comparative flats in Stamford Bridge with 100 year plus lease were worth £166,400. The average amount of ground rent was £60 invoiced per annum. The lease elapsed on 9 October 2080. Given that there were 54 years outstanding we calculated the premium to the landlord to extend the lease to be between £32,300 and £37,400 not including fees.