Aylsham leases on domestic deteriorating in value. Where your lease has about ninety years unexpired, you should start considering the need for a lease extension. If lease term is less than 80 years, you will then be required to pay half of the property's 'marriage value' in addition to the usual 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. Leasehold owners in Aylsham will usually be legally entitled to a lease extension; however a solicitor will check your eligibility. In some situations you may not qualify. There are prescribed timetables and steps to follow once the process has commenced so it’s best to be guided by a conveyancing solicitor during the process.
It is generally accepted that a residential leasehold with in excess of one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the property will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | |
| Coventry Building Society | |
| Halifax | |
| TSB | |
| The Mortgage Works |
The conveyancers that we work with undertake Aylsham 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 conveyancing solicitor we work with provide it.
Subsequent to lengthy correspondence with the freeholder of her basement apartment in Aylsham, Isabella initiated the lease extension process just as the lease was approaching the all-important 80-year threshold. The transaction completed in March 2011. The landlord’s costs were kept to an absolute minimum.
Last Winter we were called by Mr and Mrs. J Simon , who was assigned a lease of a ground floor flat in Aylsham in May 1997. We are asked if we could estimate the premium could be for a ninety year extension to my lease. Comparative flats in Aylsham with an extended lease were worth £186,000. The mid-range amount of ground rent was £65 billed annually. The lease end date was on 20 May 2084. Having 58 years left we calculated the compensation to the freeholder for the lease extension to be between £24,700 and £28,600 not including expenses.
Last Spring we were contacted by Dr U Parker , who bought a first floor flat in Aylsham in October 2009. We are asked if we could shed any light on how much (roughly) compensation to the landlord could be for a 90 year extension to my lease. Comparable premises in Aylsham with 100 year plus lease were in the region of £250,000. The average amount of ground rent was £50 invoiced per annum. The lease ended in 2095. Taking into account 69 years unexpired we approximated the compensation to the landlord for the lease extension to be between £9,500 and £11,000 exclusive of legals.