Unfortunately that a Cemaes Bay residential lease is a deteriorating asset. The lease value drops in proportion to its lease length. The extent of this is not fully appreciated in the early years due to the depreciation being disguised by increases in the Cemaes Bay property prices.Where your lease has approximately 90 years left, you need to start thinking about a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease slips below eighty years - otherwise a higher premium will be due. Most leasehold owners in Cemaes Bay will be able to extend under the legislation; however a conveyancing solicitor will be able to clarify whether you qualify for an extension. In some cases you may not qualify. There are also strict timetables and procedures to follow once the process has commenced and you will need to be guided by your lawyer throughout the process.
Leasehold properties in Cemaes Bay with in excess of one hundred years outstanding on the lease are sometimes referred to as ‘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 to be gained by buying the reversionary interest unless savings on ground rent and estate charges justify it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Coventry Building Society | |
| Leeds Building Society | |
| Skipton Building Society | |
| Virgin |
Engaging our service gives you enhanced control over the value of your Cemaes Bay leasehold, as your property will be more valuable and marketable in relation to the lease length should you wish to sell. The conveyancers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
Jayden was the the leasehold owner of a high value flat in Cemaes Bay being marketed with a lease of a little over sixty years unexpired. Jayden informally contacted his landlord a well known London-based freehold company and enquired on a premium to extend the lease. The freeholder was prepared to agree an extension on non-statutory terms taking the lease to 125 years subject to an increased rent to £100 per annum. No ground rent would be payable on a lease extension were Jayden to exercise his statutory right. Jayden procured expert advice and was able to make a more informed judgement and handle with the matter and readily saleable.
Mr and Mrs. H Parker moved into a one bedroom apartment in Cemaes Bay in May 1999. The dilemma was if we could estimate the compensation to the landlord would likely be for a ninety year extension to my lease. Comparative flats in Cemaes Bay with 100 year plus lease were in the region of £218,000. The mid-range ground rent payable was £45 billed annually. The lease ended on 24 March 2089. Taking into account 63 years unexpired we approximated the compensation to the freeholder to extend the lease to be between £17,100 and £19,800 exclusive of expenses.
Last Summer we were called by Mr and Mrs. V Ricardo , who purchased a newly refurbished apartment in Cemaes Bay in October 2003. The dilemma was if we could shed any light on how much (roughly) price could be for a ninety year extension to my lease. Comparative homes in Cemaes Bay with 100 year plus lease were in the region of £265,000. The average ground rent payable was £55 billed yearly. The lease finished on 11 September 2100. Given that there were 74 years as a residual term we calculated the compensation to the landlord to extend the lease to be within £9,500 and £11,000 not including costs.