Unfortunately that a Aspley Guise residential lease is a deteriorating asset. As the lease term diminishes so does the value of the property. The extent of this is taken for granted in the first few years due to the depreciation being disguised by increases in the Aspley Guise property prices.Where your lease has approximately 90 years left, you should start thinking about a lease extension. If the number of years remaining slips under 80 years, you will then be required to pay 50% of the property's 'marriage value' in addition to the usual cost of the lease extension to the landlord. The marriage fee is the amount of extra value that a lease extension will add the property The majority of flat owners in Aspley Guise will be able to extend under the legislation; however a conveyancing solicitor should be able to clarify whether you are eligibility. In some situations you may not qualify. There are also strict deadlines and procedures to follow once the process is initiated and you will need to be guided by your conveyancing solicitor for the duration of the formalities.
Leasehold properties in Aspley Guise with more than one hundred 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 home. In such situations there is often little to be gained by purchasing 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. |
| Godiva Mortgages | 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. |
| Santander | You must report the unexpired lease term to us and await our instructions if: 1. the unexpired term assumed by our valuer is between 55 and 82 years, but the actual unexpired term differs by more than one year (whether longer or shorter); or 2. the unexpired term assumed by our valuer is more than 82 years but the actual unexpired term is less than 82 years; or 3. no valuation report is provided However, we will not accept a lease where on expiry of the mortgage: (i) less than 50 years remain and all or part of the loan is repaid on an interest-only basis: or (ii) less than 30 years remain and the loan is repaid on a capital and interest basis We will accept a lease that has been extended under the provisions of the Leasehold Reform Act 1993 provided statutory compensation would be available to the leaseholder. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| 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 Aspley Guise can be a difficult process. We recommend you get guidance from a lawyer 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 procuring Aspley Guise lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Jack was the the leasehold owner of a high value flat in Aspley Guise on the market with a lease of a few days over 72 years left. Jack on an informal basis spoke with his freeholder a well known Bristol-based freehold company for a lease extension. The freeholder was prepared to give an extension on non-statutory terms taking the lease to 125 years on the basis of a rise in the rent to £200 annually. No ground rent would be payable on a lease extension were Jack to exercise his statutory right. Jack obtained expert legal guidance and was able to make a more informed decision and handle with the matter and sell the property.
Dr F Laurent acquired a first floor flat in Aspley Guise in January 1996. The question was if we could approximate the premium could be to extend the lease by a further 90 years. Identical homes in Aspley Guise with a long lease were worth £250,400. The average amount of ground rent was £65 invoiced annually. The lease ended in 2089. Considering the 64 years remaining we calculated the premium to the landlord to extend the lease to be between £19,000 and £22,000 exclusive of fees.
Ms Lauren Laurent was assigned a lease of a purpose-built apartment in Aspley Guise in April 2007. The question was if we could shed any light on how much (roughly) price could be for a ninety year extension to my lease. Identical residencies in Aspley Guise with a long lease were worth £189,000. The mid-range amount of ground rent was £55 invoiced quarterly. The lease ended on 13 January 2078. Given that there were 53 years remaining we calculated the compensation to the freeholder for the lease extension to be between £28,500 and £33,000 exclusive of fees.