Dyffryn Ardudwy leases on residential properties are gradually diminishing in value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of the lease becomes more expensive. Most owners of residential leasehold property in Dyffryn Ardudwy enjoy rights under legislation to extend the terms of their leases. If you are a leasehold owner in Dyffryn Ardudwy you would be well advised to see if your lease has between seventy and 90 years remaining. There are good reasons why a Dyffryn Ardudwy flat owner with a lease having around 80 years remaining should take steps to ensure that a lease extension is actioned without delay
Leasehold residencies in Dyffryn Ardudwy with in excess of 100 years left on the lease are often referred to as ‘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 buying the reversionary interest unless savings on ground rent and service charges justify it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must be at least 30 years plus the term of the mortgage at the outset of the mortgage. |
| Santander | If the property is leasehold, the remaining unexpired lease term at the end of the new mortgage term must be at least 50 years where any part of the mortgage is on Interest Only and 30 years if all loan parts are on Capital Repayment and Interest. You must report the unexpired lease term to us and await our instructions if:
|
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
Retaining our service gives you increased control over the value of your Dyffryn Ardudwy leasehold, as your property will be more valuable and marketable in respect of lease length should you decide to sell. The conveyancers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
In recent months Ethan, came seriously close to the eighty-year mark with the lease on his leasehold flat in Dyffryn Ardudwy. Having bought his flat two decades ago, the lease term was of minimal concern. Thankfully, he noticed he needed to take action soon on a lease extension. Ethan extended the lease just ahead of time in August. Ethan and the freeholder via the management company subsequently agreed on the final figure of £6,000 . If he had missed the deadline, the figure would have increased by a minimum £1,050.
Mrs B Smith moved into a one bedroom flat in Dyffryn Ardudwy in June 2000. We are asked if we could approximate the premium could be for a 90 year extension to my lease. Similar residencies in Dyffryn Ardudwy with a long lease were in the region of £201,200. The average amount of ground rent was £55 invoiced monthly. The lease ended in 2082. Considering the 56 years unexpired we estimated the compensation to the freeholder for the lease extension to be within £31,400 and £36,200 not including legals.
Ms Isabelle Cook bought a recently refurbished flat in Dyffryn Ardudwy in May 2012. The question was if we could approximate the price would likely be to prolong the lease by 90 years. Comparative residencies in Dyffryn Ardudwy with 100 year plus lease were valued about £300,000. The mid-range ground rent payable was £50 billed monthly. The lease terminated on 9 January 2102. Taking into account 76 years unexpired we approximated the compensation to the landlord to extend the lease to be between £8,600 and £9,800 not including costs.