Owning a apartment usually means owning a lease of the property, which has a set term of years. your lease will ordinarily be granted for a fixed period of time , usually 99 or 125 years, although we have seen longer and shorter terms in Eastbourne. Inevitably, the length of lease remaining shortens over time. This may slip by relatively unnoticed when the property needs to be disposed of or refinanced. The shorter the lease the less it is worth and the more it will cost to extend the lease. Eligible leaseholders in Eastbourne have the legal entitlement to extend the lease for a further ninety years in accordance with legislation. You should give due deliberation before delaying your Eastbourne lease extension. Holding off the cost now likely increases the price you will ultimately incur to extend your lease
Leasehold properties in Eastbourne with in excess of 100 years left on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and service charges warrant it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Barnsley Building Society | |
| Chelsea Building Society | |
| Santander | |
| Royal Bank of Scotland |
The conveyancers that we work with procure Eastbourne 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 conveyancer we work with provide it.
Max owned a studio flat in Eastbourne on the market with a lease of a few days over sixty years outstanding. Max informally contacted his landlord a well known local-based freehold company and enquired on a premium to extend the lease. The freeholder was keen to give an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent at the outset set at £200 per annum and doubled every twenty five years thereafter. Ordinarily, ground rent would not be due on a lease extension were Max to exercise his statutory right. Max procured expert advice and was able to make an informed decision and handle with the matter and readily saleable.
Mrs Phoebe Taylor purchased a garden flat in Eastbourne in July 1996. We are asked if we could shed any light on how much (approximately) price could be to prolong the lease by an additional years. Comparative homes in Eastbourne with an extended lease were in the region of £208,600. The mid-range ground rent payable was £60 invoiced quarterly. The lease expiry date was on 20 October 2083. Having 57 years unexpired we calculated the premium to the freeholder to extend the lease to be between £30,400 and £35,200 plus legals.
In 2014 we were e-mailed by Dr Sian Bennett who, having bought a basement flat in Eastbourne in January 2007. We are asked if we could shed any light on how much (roughly) compensation to the landlord would be for a 90 year extension to my lease. Comparable properties in Eastbourne with a long lease were worth £200,000. The mid-range ground rent payable was £50 billed annually. The lease expired on 7 November 2103. Considering the 77 years as a residual term we calculated the premium to the freeholder to extend the lease to be between £8,600 and £9,800 plus costs.