Eastbourne leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of the lease gets more expensive. Most owners of residential leasehold property in Eastbourne enjoy rights under legislation to extend the terms of their leases. Where you are a leasehold owner in Eastbourne you must investigate if your lease has between seventy and 90 years remaining. In particular once the remaining lease term slips under 80 years, the amount payable for any lease extension sharply increases as part of the premium you pay is what is known as a marriage value
Leasehold properties in Eastbourne with more than one hundred 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 premises. In such circumstances there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and service charges merit it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Barclays plc | |
| Birmingham Midshires | |
| Godiva Mortgages | |
| The Mortgage Works |
Lease extensions in Eastbourne can be a difficult process. We recommend you secure professional help 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 in-depth market knowledge procuring Eastbourne lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Omar owned a high value flat in Eastbourne on the market with a lease of just over 59 years left. Omar on an informal basis approached his freeholder being a well known London-based freehold company for a lease extension. The freeholder was prepared to grant an extension on non-statutory terms taking the lease to 125 years subject to a new rent at the outset set at £200 per annum and increase every 25 years thereafter. No ground rent would be payable on a lease extension were Omar to exercise his statutory right. Omar procured expert legal guidance and was able to make a more informed judgement and handle with the matter and sell the property.
Mr and Mrs. W Morel took over the lease of a garden flat in Eastbourne in November 2003. We are asked if we could shed any light on how much (approximately) compensation to the landlord could be to extend the lease by a further 90 years. Comparable properties in Eastbourne with a long lease were worth £233,200. The average ground rent payable was £60 invoiced annually. The lease ended in 2087. Considering the 61 years as a residual term we approximated the compensation to the landlord for the lease extension to be within £22,800 and £26,400 exclusive of fees.
Last year we were called by Dr Gemma Simon , who owned a recently refurbished apartment in Eastbourne in January 2012. We are asked if we could shed any light on how much (roughly) compensation to the landlord would likely be to extend the lease by an additional years. Similar residencies in Eastbourne with an extended lease were in the region of £166,800. The mid-range amount of ground rent was £50 collected quarterly. The lease lapsed in 2076. Taking into account 50 years outstanding we calculated the premium to the landlord to extend the lease to be within £32,300 and £37,400 plus legals.