Main reasons to commence your Aberbargoed lease extension

Why you should commence your Aberbargoed lease extension today:

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

The market value of Aberbargoed leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The expense of a lease extension can escalate materialy once the remaining term is less than 80 years

An extended lease is almost the same value as a freehold

It is conventional wisdom that a property with over 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an additional 90 years added to any lease with more than 35 years remaining, the residence will be worth the same as a freehold for many years in the future.

Lenders will not grant a mortgage with a short lease

The definition of a short lease varies by mortgage company, yet mortgage lenders start to get nervous at around 75 years. This may be problematic when you wish to market or remortgage your flat as it will be effectively unmortgageable. You may have no immediate intention to sell but when you do your purchaser will need to hold off for two years before being able to exercise the right to a a lease extension.

Get in touch with one of our Aberbargoed lease extension solicitors or enfranchisement solicitors

Lease extensions in Aberbargoed 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 dealing with Aberbargoed lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Aberbargoed Lease Extension Example Cases:

Sam, Aberbargoed, Caerphilly,

Sam owned a 2 bedroom flat in Aberbargoed on the market with a lease of fraction over 72 years left. Sam on an informal basis contacted his landlord being a well known Bristol-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to extend the lease to 125 years on the basis of a new rent to start with set at £100 per annum and doubled every twenty five years thereafter. No ground rent would be payable on a lease extension were Sam to invoke his statutory right. Sam procured expert advice and was able to make a more informed decision and handle with the matter and readily saleable.

Aberbargoed case:

In 2013 we were phoned by Dr Adam Bertrand who, having took over the lease of a first floor apartment in Aberbargoed in August 2004. We are asked if we could approximate the premium would be for a 90 year lease extension. Similar properties in Aberbargoed with an extended lease were in the region of £260,000. The mid-range amount of ground rent was £50 collected monthly. The lease end date was on 8 May 2097. Taking into account 71 years remaining we approximated the premium to the landlord for the lease extension to be within £9,500 and £11,000 not including fees.

Aberbargoed case:

In 2014 we were e-mailed by Dr Jackson Lefèvre who, having owned a newly refurbished apartment in Aberbargoed in April 1999. We are asked if we could approximate the premium would be for a 90 year lease extension. Comparable residencies in Aberbargoed with 100 year plus lease were worth £254,200. The mid-range ground rent payable was £60 invoiced quarterly. The lease ran out in 2077. Having 51 years as a residual term we approximated the compensation to the freeholder for the lease extension to be within £43,700 and £50,600 exclusive of legals.