Unfortunately that a Ampthill residential lease is a wasting asset. As the lease term diminishes so does the value of the property. The extent of this is taken for granted in the early years due to the deflation being disguised by increases in the Ampthill property prices.Once your lease nears 85ish years, you need to start thinking about a lease extension. If lease term slips below 80 years, you will then be required to pay half of the property's 'marriage value' on top of the usual cost of the lease extension to the landlord. Marriage value is the amount of extra value that a lease extension will add the property Most leasehold owners in Ampthill will be able to extend under the legislation; however a conveyancer should be able to clarify whether you qualify for an extension. In some situations you may not qualify. There are also strict deadlines and procedures to be adhered to once the process is initiated and you will need to be guided by your lawyer throughout the process.
It is generally considered that a property with more than 100 years unexpired lease term is worth roughly the same as a freehold. Where an additional ninety years added to any lease with more than 35 years remaining, the property will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | |
| Chelsea Building Society | |
| Godiva Mortgages | |
| Leeds Building Society | |
| Yorkshire Building Society |
The conveyancers that we work with undertake Ampthill 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.
Subsequent to unsuccessful discussions with the landlord of her leasehold flat in Ampthill, Courtney commenced the lease extension process as the 80 year deadline was quickly approaching. The legal work was concluded in January 2015. The landlord’s costs were kept to an absolute minimum.
In 2011 we were e-mailed by Ms Robyn Lee who, having purchased a studio apartment in Ampthill in February 2004. We are asked if we could shed any light on how much (approximately) price would be to prolong the lease by 90 years. Similar flats in Ampthill with an extended lease were in the region of £245,000. The mid-range ground rent payable was £45 billed quarterly. The lease concluded on 17 June 2094. Given that there were 68 years as a residual term we calculated the premium to the freeholder to extend the lease to be between £9,500 and £11,000 exclusive of expenses.
In 2014 we were called by Mr and Mrs. U Michel who, having acquired a newly refurbished apartment in Ampthill in May 2002. We are asked if we could approximate the compensation to the landlord could be for a ninety year extension to my lease. Comparable properties in Ampthill with a long lease were worth £280,000. The mid-range ground rent payable was £55 collected annually. The lease ran out in 2105. Considering the 79 years outstanding we estimated the premium to the landlord for the lease extension to be within £13,300 and £15,400 not including costs.