With a long leasehold premises in Bishopsworth, you are actually purchasing a right to live in a property for a prescribed time frame. These days flat leases are usually granted for 99 years or 125. Many leasehold owners are unconcerned as this seems like a long period of time, you may consider extending the lease sooner as opposed to later. The general rule is that the shorter the number of years is the cost of extending the lease becomes disproportionately more expensive notably when there are less than 80 years left. Leasehold owners in Bishopsworth with a lease nearing 81 years unexpired should seriously think of extending it sooner as opposed to later. Once a lease has below 80 years remaining, under the relevant legislation the freeholder is entitled to calculate and demand a greater amount, assessed on a technical multiplication, strangely termed as “marriage value” which is payable.
Leasehold properties in Bishopsworth with more than 100 years outstanding on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. 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 |
|---|---|
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| Chelsea 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. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Lease extensions in Bishopsworth can be a difficult process. We recommend you secure professional help from a conveyancing solicitor and surveyor well versed in the legislation and lease extension process.
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 Bishopsworth lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
In the wake of 9 months of unsuccessful correspondence with the landlord of her ground floor apartment in Bishopsworth, Rebecca started the lease extension process just as the lease was approaching the critical 80-year threshold. The legal work was concluded in November 2008. The freeholder’s fees were restricted to approximately 550 GBP.
Mr and Mrs. J Bell took over the lease of a ground floor apartment in Bishopsworth in July 1997. We are asked if we could approximate the price would be for a ninety year extension to my lease. Comparative residencies in Bishopsworth with 100 year plus lease were in the region of £168,800. The mid-range ground rent payable was £60 collected every twelve months. The lease terminated in 2079. Given that there were 55 years left we approximated the compensation to the landlord for the lease extension to be between £31,400 and £36,200 exclusive of professional charges.
Dr William Bell completed a one bedroom flat in Bishopsworth in March 1998. We are asked if we could estimate the premium would likely be to extend the lease by ninety years. Comparative properties in Bishopsworth with 100 year plus lease were in the region of £235,200. The average ground rent payable was £45 collected annually. The lease concluded in 2090. Taking into account 66 years left we calculated the premium to the landlord to extend the lease to be between £12,400 and £14,200 plus legals.