As the length of the unexpired term of a Ebbw Vale domestic lease decreases so does its value and therefore the value of your property. If the residual term has, beyond 100 years remaining then this decrease may be of little impact nevertheless there will become a stage when a lease has fewer than eighty years unexpired as part of the premium you will incur is what is known as a marriage value. This could be significant. It is the primary rational as to why you should extend the lease sooner rather than later. The majority of flat owners in Ebbw Vale will qualify for this right; nevertheless a conveyancing solicitor can advise if you are eligible to extend your lease. In limited situations you may not qualify, the most common reason being that you have not been the owner of the property for two years.
It is generally considered that a residential leasehold with in excess of 100 years remaining is worth roughly the same as a freehold. Where an further ninety years added to any lease with more than 45 years remaining, the property 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| 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 conveyancing solicitors that we work with procure Ebbw Vale 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 conveyancer we work with provide it.
Trailing lengthy correspondence with the landlord of her first floor apartment in Ebbw Vale, Laura initiated the lease extension process as the 80 year mark was swiftly approaching. The transaction was concluded in September 2006. The freeholder’s fees were restricted to about 650 pounds.
Ms S Phillips owned a basement apartment in Ebbw Vale in September 2000. The question was if we could approximate the price would be for a ninety year lease extension. Identical flats in Ebbw Vale with an extended lease were in the region of £235,200. The mid-range ground rent payable was £45 collected annually. The lease came to a finish in 2092. Having 66 years remaining we estimated the premium to the landlord for the lease extension to be between £12,400 and £14,200 not including legals.
In 2009 we were contacted by Mr and Mrs. P Sánchez who, having acquired a one bedroom flat in Ebbw Vale in April 2002. We are asked if we could shed any light on how much (approximately) price would be to prolong the lease by an additional years. Comparative properties in Ebbw Vale with 100 year plus lease were worth £280,000. The mid-range ground rent payable was £55 billed yearly. The lease termination date was in 2103. Taking into account 77 years left we estimated the compensation to the landlord for the lease extension to be within £13,300 and £15,400 not including legals.