Unfortunately that a Bargoed residential lease is a deteriorating asset. As the lease term diminishes so does the value of the property. The extent of this is taken for granted in the first few years due to the loss of value being disguised by increases in the Bargoed property prices.Once your lease nears 85ish years, you need to start thinking about a lease extension. If the number of years remaining dips under eighty years, you will end up paying 50% of the property's 'marriage value' in addition to the usual cost of the lease extension to the landlord. Marriage value is the amount of additional value that a lease extension will add the property Most leasehold owners in Bargoed will be able to extend under the legislation; however a conveyancer will be able to confirm if you qualify for an extension. In some cases you may not qualify. There are also strict deadlines and procedures to be adhered to once the process has commenced and you will need to be guided by your lawyer from beginning to end of the process.
It is conventional wisdom that a property with over one hundred years unexpired lease term is worth roughly the same as a freehold. Where an further 90 years added to any lease with more than 45 years remaining, the premises will be worth the same as a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Halifax | |
| National Westminster Bank | |
| Nationwide Building Society | |
| The Mortgage Works | |
| Virgin |
Lease extensions in Bargoed can be a difficult process. We recommend you procure professional help from a conveyancer 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 in-depth market knowledge procuring Bargoed lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Daniel was the the leasehold proprietor of a 2 bedroom flat in Bargoed on the market with a lease of a few days over sixty years left. Daniel on an informal basis spoke with his freeholder being a well known Manchester-based freehold company and enquired on a premium to extend the lease. The landlord was keen to grant an extension on non-statutory terms taking the lease to 125 years subject to an increased rent to £200 annually. No ground rent would be due on a lease extension were Daniel to invoke his statutory right. Daniel obtained expert legal guidance and secured an acceptable deal without going to tribunal and readily saleable.
In 2009 we were phoned by Mr Max Anderson who, having completed a studio apartment in Bargoed in February 2002. We are asked if we could estimate the premium would likely be to prolong the lease by ninety years. Comparable premises in Bargoed with a long lease were worth £200,000. The average amount of ground rent was £50 billed monthly. The lease ended on 17 August 2103. Taking into account 77 years left we calculated the premium to the landlord to extend the lease to be within £8,600 and £9,800 not including professional charges.
Ms Kelsey Wright owned a garden apartment in Bargoed in July 2004. We are asked if we could shed any light on how much (approximately) price would be to extend the lease by an additional years. Similar residencies in Bargoed with an extended lease were in the region of £265,200. The mid-range amount of ground rent was £65 invoiced quarterly. The lease ran out on 24 October 2092. Considering the 66 years unexpired we calculated the premium to the freeholder for the lease extension to be between £15,200 and £17,600 not including professional charges.