Unfortunately that a Connahs Quay 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 deflation being disguised by increases in the Connahs Quay property prices.Once your lease nears 85ish years, you need to start considering a lease extension. If the number of years remaining slips under 80 years, you will then be required to pay half of the property's 'marriage value' in addition to the usual cost of the lease extension to the landlord. The marriage fee is the amount of additional value that a lease extension will add the property The majority of leasehold owners in Connahs Quay will be able to extend under the legislation; however a conveyancer should be able to confirm whether you qualify for an extension. In some situations 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 conveyancing solicitor for the duration of the formalities.
Leasehold residencies in Connahs Quay with over one hundred years remaining on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such circumstances there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and maintenance charges warrant it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Lease extensions in Connahs Quay can be a difficult process. We recommend you secure professional help from a conveyancing solicitor 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 dealing with Connahs Quay lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Last October Charlie, came very near to the eighty-year threshold with the lease on his ground floor apartment in Connahs Quay. In buying his flat 18 years ago, the unexpired term was of little concern. As luck would have it, he realised he needed to take steps soon on Extending the lease. Charlie arranged for a lease extension just under the wire last August. Charlie and the freeholder eventually settled on the final figure of £5,500 . If the lease had fallen lower than eighty years, the figure would have become more exhorbitant by at least £1,125.
In 2013 we were approached by Mrs E Rivera who, having moved into a recently refurbished flat in Connahs Quay in August 2000. The question was if we could shed any light on how much (approximately) price could be for a ninety year extension to my lease. Similar premises in Connahs Quay with 100 year plus lease were valued about £285,000. The average ground rent payable was £45 invoiced yearly. The lease lapsed on 25 January 2098. Given that there were 72 years remaining we calculated the compensation to the landlord for the lease extension to be between £12,400 and £14,200 exclusive of expenses.
In 2012 we were phoned by Ms Y Stewart who, having moved into a recently refurbished apartment in Connahs Quay in August 2000. We are asked if we could estimate the price could be for a 90 year extension to my lease. Comparative properties in Connahs Quay with a long lease were valued about £233,200. The average ground rent payable was £60 billed yearly. The lease terminated on 24 February 2087. Considering the 61 years outstanding we estimated the compensation to the freeholder to extend the lease to be within £22,800 and £26,400 plus legals.