Ampthill leases on residential deteriorating in value. Where your lease has in the region of 90 years left, you should start thinking about a lease extension. It is important to recognise that it is that it is financially advisable for a lease extension to be in place before the term of the current lease dips under eighty years - otherwise a higher amount will be due. Flat owners in Ampthill will mostly qualify for a lease extension; however a solicitor will check your eligibility. In certain circumstances you may not be entitled. There are also strict timetables and formalities to follow once the process has started so it’s sensible to be guided by a conveyancing solicitor during the process.
It is generally accepted that a property with more than one hundred years remaining is worth approximately the equivalent as a freehold. Where an further ninety years added to all but the shortest lease, the residence will be equivalent in value to a freehold for decades to come.
| 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. |
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Regardless of whether you are a tenant or a landlord in Ampthill,the lease extension lawyers that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Ampthill valuers.
Following protracted correspondence with the landlord of her two bedroom apartment in Ampthill, Megan commenced the lease extension process as the 80 year threshold was rapidly coming. The transaction completed in October 2014. The landlord’s fees were negotiated to about 450 GBP.
In 2012 we were approached by Mr and Mrs. P Allen who, having completed a newly refurbished flat in Ampthill in March 1999. We are asked if we could shed any light on how much (roughly) premium could be for a 90 year extension to my lease. Identical properties in Ampthill with 100 year plus lease were in the region of £200,800. The average amount of ground rent was £65 collected monthly. The lease expired on 12 June 2085. Considering the 60 years left we estimated the premium to the freeholder for the lease extension to be within £20,900 and £24,200 not including costs.
In 2013 we were called by Mr and Mrs. I López who, having completed a recently refurbished apartment in Ampthill in August 2012. We are asked if we could shed any light on how much (approximately) premium would likely be for a ninety year lease extension. Identical flats in Ampthill with a long lease were worth £255,000. The average ground rent payable was £50 invoiced annually. The lease concluded on 10 May 2096. Taking into account 71 years left we approximated the premium to the freeholder to extend the lease to be between £9,500 and £11,000 exclusive of fees.