When it comes to long leasehold property in Bodelwyddan, you are actually purchasing an entitlement to reside in a property for a prescribed time frame. Modern flat leases typically tend to be for 99 years or 125. Even though this may appear like a lengthy period of time, you should think about 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 greater especially when there are fewer than 80 years remaining. Anyone in Bodelwyddan with a lease nearing 81 years remaining should seriously think of extending it without delay. When the lease term has below eighty years remaining, under the current statute the landlord is entitled to calculate and demand a larger premium, based on a technical multiplication, strangely termed as “marriage value” which is due.
It is generally accepted that a residential leasehold with over one hundred years remaining is worth roughly the same as a freehold. Where an further ninety years added to all but the shortest lease, the property will be equivalent in value to a freehold for many years in the future.
| 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. |
| Coventry Building Society | A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
Retaining our service will provide you enhanced control over the value of your Bodelwyddan leasehold, as your property will be more valuable and marketable in respect of lease length should you wish to sell. The conveyancing solicitors that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
After unsuccessful discussions with the landlord of her purpose-built apartment in Bodelwyddan, Mollie initiated the lease extension process just as her lease was nearing the all-important 80-year threshold. The legal work completed in October 2007. The landlord’s fees were kept to an absolute minimum.
Last Winter we were approach by Mrs Georgia Adams , who bought a ground floor flat in Bodelwyddan in June 2003. The question was if we could shed any light on how much (roughly) compensation to the landlord would be for a 90 year extension to my lease. Comparative premises in Bodelwyddan with a long lease were worth £285,000. The mid-range amount of ground rent was £55 collected every twelve months. The lease expired on 17 September 2104. Considering the 79 years unexpired we estimated the compensation to the landlord for the lease extension to be between £13,300 and £15,400 plus legals.
Last month we were called by Dr E Smith , who acquired a purpose-built apartment in Bodelwyddan in April 2011. We are asked if we could shed any light on how much (approximately) price would be for a 90 year extension to my lease. Similar flats in Bodelwyddan with 100 year plus lease were valued around £193,400. The mid-range ground rent payable was £65 invoiced per annum. The lease ended on 21 January 2084. Considering the 59 years as a residual term we calculated the premium to the freeholder for the lease extension to be between £21,900 and £25,200 plus legals.