As the length of the unexpired term of a Maidstone residential lease diminished so does its value and therefore the value of your property. Where the lease has, more than 125 years remaining then this decrease may be of little impact nevertheless there will become a point in time when a lease has under than eighty years remaining as part of the premium you will incur is what is known as a marriage value. This could be significant. It is the primary reason why you should extend the lease without delay. Most flat owners in Maidstone will qualify for this right; nevertheless a lawyer can advise whether you are eligible for a lease extension. In certain situations you may not qualify, the most common reason being that you have owned the property for less than two years.
It is generally accepted that a property with more than 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an further 90 years added to any lease with more than 35 years left, the property will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower. |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| Chelsea Building Society | 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must be at least 30 years plus the term of the mortgage at the outset of the mortgage. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Lease extensions in Maidstone can be a difficult process. We recommend you secure professional help from a lawyer and valuer 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 Maidstone lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Trailing lengthy correspondence with the landlord of her first floor apartment in Maidstone, Danielle commenced the lease extension process as the eighty year mark was quickly nearing. The legal work was finalised in August 2010. The freeholder’s costs were kept to an absolute minimum.
In 2009 we were approached by Dr Lewis Cook who, having bought a one bedroom apartment in Maidstone in August 2011. The question was if we could estimate the price could be for a ninety year extension to my lease. Comparative homes in Maidstone with a long lease were valued about £203,200. The mid-range ground rent payable was £65 collected monthly. The lease ran out in 2087. Given that there were 61 years left we calculated the premium to the freeholder for the lease extension to be between £19,000 and £22,000 exclusive of expenses.
Last Autumn we were phoned by Dr D Roberts , who moved into a studio apartment in Maidstone in November 1995. We are asked if we could shed any light on how much (roughly) compensation to the landlord would likely be for a ninety year lease extension. Identical flats in Maidstone with 100 year plus lease were worth £260,000. The average amount of ground rent was £50 collected per annum. The lease finished in 2098. Taking into account 72 years left we estimated the compensation to the landlord for the lease extension to be between £9,500 and £11,000 plus professional charges.