The nearer a domestic lease in Cefn Mawr gets to zero years unexpired, the more it reduces the value of the property. If the lease has, in excess of 99 years remaining then this decrease may be negligible that being said there will become a stage when a lease has fewer than eighty years remaining as part of the premium you will incur is what is termed as a marriage value. This could be significant. It is the primary logic behind why you should consider extending sooner rather than later. Most flat owners in Cefn Mawr will meet the qualifying criteria; that being said a lawyer should be able to confirm whether you are eligible to extend your lease. In certain situations you may not qualify, the most frequent reason being that you have owned the property for less than two years.
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 90 years added to any lease with more than 30 years unexpired, the premises will be worth the same as 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. |
| Chelsea Building Society | 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. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
| Yorkshire Building Society | 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. |
The conveyancers that we work with procure Cefn Mawr lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The lawyer we work with provide it.
Two years ago Ryan, came precariously close to the eighty-year mark with the lease on his basement flat in Cefn Mawr. In buying his flat two decades ago, the lease term was of minimal interest. As luck would have it, he noticed he needed to take steps soon on a lease extension. Ryan arranged for a lease extension just under the wire last June. Ryan and the landlord subsequently agreed on an amount of £6,000 . If the lease had dipped lower than 80 years, the amount would have become more costly by at least £1,125.
Dr B Richardson was assigned a lease of a one bedroom flat in Cefn Mawr in June 2002. We are asked if we could shed any light on how much (roughly) compensation to the landlord could be to extend the lease by ninety years. Comparative residencies in Cefn Mawr with 100 year plus lease were worth £216,000. The average ground rent payable was £60 collected quarterly. The lease concluded in 2084. Having 58 years outstanding we estimated the premium to the freeholder for the lease extension to be between £28,500 and £33,000 plus professional charges.
Last Autumn we were approach by Mr W Sánchez , who owned a garden apartment in Cefn Mawr in May 2009. The dilemma was if we could estimate the premium could be to extend the lease by an additional years. Similar homes in Cefn Mawr with a long lease were valued about £200,000. The average ground rent payable was £50 billed per annum. The lease expiry date was on 11 September 2104. Considering the 78 years as a residual term we approximated the premium to the freeholder for the lease extension to be within £8,600 and £9,800 plus fees.