Main reasons to start your Rhiwbina lease extension

Main reasons to commence your Rhiwbina lease extension today:

A Rhiwbina leasehold property depreciates with the years remaining on the lease.

With a domestic leasehold premises in Rhiwbina, you effectively rent it for a certain period of time. In recent years flat leases typically tend to be for 99 years or 125. Many leasehold owners become complacent as this seems like a long period of time, you may consider a lease extension sooner as opposed to later. Accepted thinking is that the shorter the number of years is the cost of extending the lease gets disproportionately more expensive particularly once there are fewer than eighty years remaining. Residents in Rhiwbina with a lease nearing 81 years left should seriously consider extending it sooner as opposed to later. When the lease term has below 80 years left, under the current legislation the landlord is entitled to calculate and charge a larger premium, assessed on a technical computation, known as “marriage value” which is payable.

Rhiwbina property with a lease extension has roughly the same value as a freehold

Leasehold residencies in Rhiwbina with in excess of one hundred years left on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such situations there is often little upside in purchasing the reversionary interest unless savings on ground rent and estate charges justify it.

Lending institutions may not lend with a short lease

Most mortgage companies insist on a lengthy amount of time remaining on any leasehold property before they will contemplate it as adequate security. Regardless of whether you require a mortgage, you should keep in mind that it is likely that someone wishing to purchase your property in the future might well do, so if they are not able to secure a mortgage, then the financial worth of the property will likely be adversely impacted. Since 2008 the majority of mortgage lenders have increased the required minimum lease length that they are prepared to lend on

Why use us for your lease extension in Rhiwbina?

Regardless of whether you are a tenant or a landlord in Rhiwbina,the lease extension solicitors that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Rhiwbina valuers.

Rhiwbina Lease Extension Case Summaries:

Hannah, Rhiwbina, Cardiff,

Off the back of protracted correspondence with the landlord of her one bedroom flat in Rhiwbina, Hannah commenced the lease extension process just as her lease was coming close to the critical eighty-year mark. The legal work was concluded in January 2006. The landlord’s costs were negotiated to less than 650 GBP.

Rhiwbina case:

Mr Alexander Smith moved into a studio apartment in Rhiwbina in May 2011. We are asked if we could shed any light on how much (approximately) price would be for a ninety year extension to my lease. Similar residencies in Rhiwbina with a long lease were worth £275,000. The mid-range ground rent payable was £65 invoiced quarterly. The lease ended in 2094. Considering the 68 years unexpired we approximated the premium to the landlord for the lease extension to be within £12,400 and £14,200 not including legals.

Rhiwbina case:

In 2009 we were e-mailed by Mr and Mrs. J Hill who, having took over the lease of a garden flat in Rhiwbina in August 2001. We are asked if we could shed any light on how much (roughly) compensation to the landlord would be for a 90 year extension to my lease. Identical homes in Rhiwbina with 100 year plus lease were valued around £213,600. The average amount of ground rent was £60 billed annually. The lease concluded on 23 March 2083. Having 57 years outstanding we estimated the compensation to the landlord to extend the lease to be between £30,400 and £35,200 not including fees.