Main reasons to commence your Dolwyddelan lease extension

Main reasons to start your Dolwyddelan lease extension today:

Increase your lease and increase your Dolwyddelan property value

When it comes to domestic leasehold premises in Dolwyddelan, you are actually buying an entitlement to live in a property for a set period of time. In recent years flat leases are usually granted for 99 years or 125. Many leasehold owners are unconcerned as this seems like a long period of time, you may consider a lease extension sooner as opposed to later. The general rule is that the shorter the number of years is the cost of extending the lease gets disproportionately greater especially once there are less than 80 years left. Leasehold owners in Dolwyddelan with a lease nearing 81 years unexpired should seriously consider extending it as soon as possible. Once the lease term has under 80 years outstanding, under the relevant Act the landlord is entitled to calculate and levy a larger premium, assessed on a technical multiplication, strangely termed as “marriage value” which is due.

Dolwyddelan property with a lease extension is almost the same value as a freehold

It is conventional wisdom that a residential leasehold with more than 100 years unexpired lease term is worth approximately the equivalent 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 decades to come.

Banks and Building Societies will not finance a property on a short lease

The trend since 2008 has been for mortgage companies to tighten lending requirements generally - this has extended to the types of security over which the mortgage is to be charged. This has resulted in the unexpired lease term required by mortgage companies has increased. In the past banks would grant a mortgage on a lease with twenty years plus the term of the loan - routinely fifty year leases but those requirements are being increasingly undermined by the requirement for longer and longer leases - many use a minimum term of 75 years as standard.

Get in touch with one of our Dolwyddelan lease extension solicitors or enfranchisement solicitors

Lease extensions in Dolwyddelan 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 a wealth of experience procuring Dolwyddelan lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Dolwyddelan Lease Extension Example Cases:

Olivia, Dolwyddelan, Conwy,

Off the back of lengthy negotiations with the freeholder of her purpose-built apartment in Dolwyddelan, Olivia initiated the lease extension process as the eighty year deadline was swiftly nearing. The legal work was finalised in September 2008. The freeholder’s fees were kept to an absolute minimum.

Dolwyddelan case:

In 2010 we were phoned by Mr M Leroy who, having was assigned a lease of a one bedroom flat in Dolwyddelan in January 2004. We are asked if we could estimate the price would be to prolong the lease by an additional years. Similar premises in Dolwyddelan with an extended lease were worth £174,200. The average amount of ground rent was £55 collected per annum. The lease lapsed on 11 May 2077. Given that there were 51 years left we approximated the compensation to the landlord to extend the lease to be within £31,400 and £36,200 exclusive of fees.

Dolwyddelan case:

Mr and Mrs. M Nelson acquired a studio flat in Dolwyddelan in November 1997. We are asked if we could estimate the premium would likely be for a ninety year lease extension. Similar homes in Dolwyddelan with an extended lease were worth £285,000. The average ground rent payable was £45 collected monthly. The lease finished on 25 August 2097. Considering the 71 years remaining we calculated the premium to the landlord to extend the lease to be within £12,400 and £14,200 not including fees.