Ashtead leases on residential properties are gradually decreasing in value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of the lease becomes more expensive. Legislation has been in place for sometime now which entitles qualifying Ashtead residential leaseholders to extend the terms of long leases. If you are a leasehold owner in Ashtead you really ought to investigate if your lease has between seventy and 90 years left. In particular once the remaining lease term slips under eighty years, the premium due on any lease extension increases dramatically as an element of the premium you pay is what is known as a marriage value
Leasehold residencies in Ashtead with in excess of 100 years left on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such circumstances there is often little to be gained by buying the reversionary interest unless savings on ground rent and estate charges warrant it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Coventry Building Society | |
| Leeds Building Society | |
| National Westminster Bank | |
| Virgin |
Lease extensions in Ashtead can be a difficult process. We recommend you procure guidance from a conveyancer and surveyor with experience in lease extensions.
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 Ashtead lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
After lengthy correspondence with the freeholder of her two bedroom apartment in Ashtead, Ashleigh initiated the lease extension process as the 80 year threshold was rapidly nearing. The transaction was finalised in May 2014. The freeholder’s fees were kept to an absolute minimum.
Ms Robyn Murphy was assigned a lease of a garden apartment in Ashtead in June 1997. We are asked if we could shed any light on how much (approximately) premium could be for a ninety year extension to my lease. Identical residencies in Ashtead with a long lease were worth £290,000. The average amount of ground rent was £45 billed quarterly. The lease termination date was in 2099. Considering the 73 years unexpired we approximated the compensation to the landlord for the lease extension to be within £9,500 and £11,000 exclusive of fees.
An example of a Lease Extension matter before the tribunal for a Ashtead residence is 33 The Maisonettes Alberta Avenue in June 2014. the Tribunal decided that the premium payable for the grant of a new lease be the sum of £20,680 (Twenty Thousand six hundred and eighty pounds). This case affected 1 flat. The unexpired term as at the valuation date was 60.43 years.