As the length of the unexpired term of a Folkestone residential lease diminished so does its value and therefore the value of your property. Where the residual term has, beyond 100 years remaining then this decrease may be fractional that being said there will become a stage when a lease has fewer than 80 years unexpired as part of the premium you will incur is what is termed as a marriage value. This could increase markedly the cost. It is the primary logic behind why you should extend the lease without delay. Many flat owners in Folkestone will qualify for this right; that being said a conveyancer can advise whether you qualify to extend your lease. In limited situations you may not qualify, the most frequent reason being that you have owned the property for less than two years.
It is conventional wisdom that a property with in excess of one hundred years unexpired lease term is worth roughly the same as a freehold. Where an additional 90 years added to all but the shortest lease, the premises will be worth the same as a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Chelsea Building Society | |
| Leeds Building Society | |
| Skipton Building Society | |
| The Mortgage Works | |
| Royal Bank of Scotland |
Lease extensions in Folkestone can be a difficult process. We recommend you secure guidance from a conveyancer 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 in-depth market knowledge procuring Folkestone lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Last October Sebastian, started to get close to the eighty-year mark with the lease on his first floor flat in Folkestone. Having bought his home two decades ago, the unexpired term was of minimal bearing. Thankfully, it dawned on him that he needed to take action soon on a lease extension. Sebastian was able to extend his lease just under the wire in January. Sebastian and the freeholder via the management company in the end agreed on an amount of £5,000 . If he had missed the deadline, the amount would have gone up by a minimum £875.
Last Winter we were phoned by Mr and Mrs. O Nguyen , who owned a garden flat in Folkestone in November 1995. The question was if we could approximate the price could be to prolong the lease by an additional years. Similar flats in Folkestone with an extended lease were worth £176,200. The average ground rent payable was £65 collected quarterly. The lease lapsed on 2 March 2082. Taking into account 56 years left we calculated the compensation to the landlord to extend the lease to be within £29,500 and £34,000 exclusive of expenses.
In 2012 we were phoned by Mr Y Torres who, having acquired a one bedroom apartment in Folkestone in May 2002. We are asked if we could shed any light on how much (approximately) premium would be to prolong the lease by a further 90 years. Comparable premises in Folkestone with an extended lease were valued about £242,600. The mid-range ground rent payable was £45 billed every twelve months. The lease expired on 26 March 2093. Having 67 years left we estimated the compensation to the freeholder for the lease extension to be within £11,400 and £13,200 plus professional charges.