On the balance of probabilities where you own a flat in Aylesbury you actually own a long leasehold interest over your property
Leasehold properties in Aylesbury with more than 100 years unexpired 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 situations there is often little to be gained by buying the freehold unless savings on ground rent and estate charges warrant it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 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. |
| Barclays plc | Leases with less than 70 years at the commencement of the mortgage should be declined (see exception below). Leases with greater than 70 years but fewer than 85 years remaining must be referred to issuing office. Leases with fewer than 70 years should only be referred to the issuing office where the following scenario applies, as discretion may be applied subject to bank approval: • Property is located in any of the following prestigious developments: Cadogan, Crown, Grosvenor, Howard de Walden, Portman or Wellcome Trust Estates in Central London AND • The value of the property subject to the short remaining term is £500,000 or more AND • The loan to value does not exceed 90% for purchases, 90% like for like re-mortgages, 80% for re-mortgages with any element of capital raising and 80% for existing Barclays mortgage borrowers applying for additional borrowing; |
| 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. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Regardless of whether you are a tenant or a freeholder in Aylesbury,the lease extension experts that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Aylesbury valuers.
18 months ago Adam, started to get near to the eighty-year mark with the lease on his studio apartment in Aylesbury. Having purchased his home two decades ago, the unexpired term was of minimal bearing. Luckily, he recognised he would imminently be paying way over the odds for a lease extension. Adam arranged for a lease extension just in the nick of time in July. Adam and the freeholder in the end settled on a premium of £6,000 . If the lease had gone below 80 years, the price would have escalated by at least £925.
Mr and Mrs. G Green acquired a one bedroom apartment in Aylesbury in January 1997. We are asked if we could estimate the compensation to the landlord would likely be to prolong the lease by an additional years. Similar properties in Aylesbury with a long lease were valued about £206,200. The mid-range amount of ground rent was £60 billed per annum. The lease finished on 12 July 2081. Given that there were 56 years unexpired we calculated the compensation to the freeholder for the lease extension to be between £32,300 and £37,400 exclusive of costs.
Mr and Mrs. R Gray was assigned a lease of a basement apartment in Aylesbury in July 2004. We are asked if we could shed any light on how much (approximately) price could be for a 90 year extension to my lease. Comparative flats in Aylesbury with a long lease were valued around £300,000. The mid-range amount of ground rent was £50 billed monthly. The lease ran out in 2101. Having 76 years remaining we estimated the compensation to the landlord for the lease extension to be within £8,600 and £9,800 plus expenses.