Owning a flat usually means owning a lease of the property, which has a finite term of years. The lease will usually be granted for a fixed period of time , ordinarily 99 or 125 years, although we have seen longer and shorter terms in Bagillt. Inevitably, the length of lease left reduces as time goes by. This is often overlooked and only raises itself as an issue when the property has to be disposed of or refinanced. The shorter the lease the lower the value of the property and the more expensive it will be to obtain a lease extension. Eligible long lease owners in Bagillt have the legal entitlement to extend the lease for an additional ninety years under statute. Do give due attention before putting off your Bagillt lease extension. Holding off the cost now simply increases the price you will ultimately incur to extend your lease
Leasehold properties in Bagillt with over one hundred years remaining on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little to be gained by buying the reversionary interest unless savings on ground rent and service charges warrant it.
| Lender | Requirement |
|---|---|
| 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must be at least 75 years plus the term of the mortgage at the outset of the mortgage. |
| 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 Bagillt can be a difficult process. We recommend you obtain guidance from a lawyer and valuer 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 Bagillt lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Following lengthy correspondence with the landlord of her one bedroom flat in Bagillt, Abbie initiated the lease extension process as the eighty year deadline was fast advancing. The lease extension was concluded in February 2009. The landlord’s fees were negotiated to approximately 550 GBP.
In 2014 we were approached by Ms Alicia Wilson who, having acquired a purpose-built flat in Bagillt in October 2011. The dilemma was if we could approximate the premium would likely be to prolong the lease by a further 90 years. Identical premises in Bagillt with a long lease were worth £235,200. The mid-range ground rent payable was £45 invoiced every twelve months. The lease came to a finish on 26 May 2092. Having 66 years unexpired we calculated the premium to the landlord to extend the lease to be between £12,400 and £14,200 plus legals.
Mr and Mrs. L Lewis completed a first floor flat in Bagillt in September 1998. We are asked if we could estimate the compensation to the landlord could be for a 90 year extension to my lease. Comparative homes in Bagillt with 100 year plus lease were in the region of £275,000. The mid-range ground rent payable was £55 collected quarterly. The lease came to a finish in 2103. Having 77 years unexpired we approximated the compensation to the freeholder for the lease extension to be between £13,300 and £15,400 not including professional charges.