When it comes to residential leasehold premises in Canterbury, you effectively rent it for a certain period of time. These days flat leases are usually granted for 99 years or 125. Many leasehold owners are unconcerned as this seems like a lengthy period of time, you may think about a lease extension sooner rather than later. The general rule is that the shorter the number of years is the cost of extending the lease becomes disproportionately more expensive especially when there are less than 80 years remaining. Leasehold owners in Canterbury with a lease nearing 81 years left should seriously think of extending it without delay. Once the lease term has fewer than eighty years left, under the current Act the landlord is entitled to calculate and levy a greater premium, assessed on a technical calculation, known as “marriage value” which is due.
It is generally considered that a residential leasehold with in excess of 100 years remaining is worth approximately the same as a freehold. Where an additional 90 years added to all but the shortest lease, the residence will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Halifax | |
| Nationwide Building Society | |
| Royal Bank of Scotland | |
| Virgin |
Lease extensions in Canterbury can be a difficult process. We recommend you secure professional help from a lawyer and valuer 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 Canterbury lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Subsequent to protracted discussions with the landlord of her two bedroom flat in Canterbury, Aimee initiated the lease extension process as the eighty year mark was fast approaching. The legal work was concluded in June 2013. The landlord’s fees were kept to an absolute minimum.
Last year we were contacted by Dr Mason Hernández , who bought a studio apartment in Canterbury in January 2008. We are asked if we could approximate the premium could be to extend the lease by ninety years. Comparative premises in Canterbury with an extended lease were worth £203,200. The average amount of ground rent was £65 billed annually. The lease expired in 2087. Considering the 61 years outstanding we calculated the compensation to the landlord to extend the lease to be within £19,000 and £22,000 plus legals.
Last Autumn we were e-mailed by Mr and Mrs. N Howard , who acquired a purpose-built flat in Canterbury in October 1997. We are asked if we could estimate the premium could be for a 90 year lease extension. Comparative properties in Canterbury with 100 year plus lease were worth £260,000. The average ground rent payable was £50 billed yearly. The lease expired in 2098. Given that there were 72 years as a residual term we calculated the premium to the freeholder to extend the lease to be within £9,500 and £11,000 exclusive of costs.