Aylesford leases on domestic deteriorating in value. if your lease has approximately ninety years unexpired, you should start thinking about a lease extension. If lease term dips under eighty years, you will then have to pay 50% of the property's 'marriage value' on top of the standard cost of the lease extension to the landlord. Marriage value is the amount of extra value that a lease extension will add to the property. Flat owners in Aylesford will mostly be legally entitled to a lease extension; however a solicitor should be able confirm if you qualify. In certain circumstances you may not be entitled. There are also strict timetables and procedures to follow once the process is initiated so it’s best to be guided by a lawyer during the process.
It is generally accepted that a property with in excess of 100 years remaining is worth roughly the equivalent as a freehold. Where an additional 90 years added to all but the shortest lease, the premises will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| 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. |
Using our service gives you better control over the value of your Aylesford leasehold, as your property will be more valuable and marketable in relation to the lease length should you wish to sell. The lawyers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
During the course of the last few months Harvey, came perilously near to the 80-year mark with the lease on his leasehold apartment in Aylesford. In buying his home 18 years previously, the length of the lease was of no importance. Luckily, he recognised he needed to take action soon on a lease extension. Harvey arranged for a lease extension at the eleventh hour last July. Harvey and the landlord in the end agreed on an amount of £6,000 . If he failed to meet the deadline, the sum would have escalated by at least £1,125.
Last Summer we were approach by Mr and Mrs. K Bailey , who was assigned a lease of a newly refurbished flat in Aylesford in June 2001. We are asked if we could approximate the compensation to the landlord could be to extend the lease by a further 90 years. Identical properties in Aylesford with 100 year plus lease were worth £240,600. The average amount of ground rent was £60 invoiced annually. The lease lapsed in 2088. Considering the 62 years remaining we estimated the premium to the freeholder to extend the lease to be within £21,900 and £25,200 plus professional charges.
Mrs Robyn Bell was assigned a lease of a one bedroom apartment in Aylesford in January 2003. We are asked if we could shed any light on how much (roughly) price could be for a 90 year extension to my lease. Identical premises in Aylesford with an extended lease were valued about £174,200. The mid-range amount of ground rent was £55 invoiced quarterly. The lease expired in 2077. Having 51 years remaining we calculated the premium to the landlord for the lease extension to be within £31,400 and £36,200 plus costs.