It’s a harsh truth that a Glyn Ceiriog residential lease is a wasting asset. The lease value reduces in proportion to its lease length. The extent of this is not fully appreciated in the first few years due to the reduction being disguised by increases in the Glyn Ceiriog property market.Where your lease has approximately ninety years left, you should 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 falls under eighty years - otherwise a higher amount will be due. Most leasehold owners in Glyn Ceiriog will be able to extend under the legislation; however a lawyer should be able to clarify if you are eligibility. In some situations you may not be entitled. There are also strict timetables and procedures to follow once the process has commenced and you will need to be guided by your lawyer from beginning to end of the process.
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 additional 90 years added to any lease with more than 45 years left, the residence will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Coventry Building Society | |
| TSB | |
| The Mortgage Works | |
| Virgin | |
| Yorkshire Building Society |
Irrespective of whether you are a tenant or a landlord in Glyn Ceiriog,the lease extension lawyers that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Glyn Ceiriog valuers.
Elijah owned a high value flat in Glyn Ceiriog on the market with a lease of just over sixty years left. Elijah informally contacted his landlord a well known Manchester-based freehold company for a lease extension. The landlord indicated a willingness to extend the lease to 125 years on the basis of an increased rent to £50 per annum. Ordinarily, ground rent would not be payable on a lease extension were Elijah to exercise his statutory right. Elijah obtained expert advice and was able to make a more informed decision and deal with the matter and sell the flat.
Mrs Isabel Clark completed a studio flat in Glyn Ceiriog in October 1999. The dilemma was if we could estimate the compensation to the landlord would be for a 90 year extension to my lease. Comparative properties in Glyn Ceiriog with 100 year plus lease were worth £265,200. The average ground rent payable was £65 collected quarterly. The lease ran out on 3 November 2092. Given that there were 66 years left we calculated the compensation to the landlord for the lease extension to be within £15,200 and £17,600 not including professional charges.
Last Winter we were e-mailed by Ms Y Baker , who bought a newly refurbished apartment in Glyn Ceiriog in March 2001. The question was if we could approximate the compensation to the landlord would be to extend the lease by 90 years. Comparative flats in Glyn Ceiriog with an extended lease were in the region of £198,800. The average ground rent payable was £55 collected annually. The lease came to a finish on 15 September 2081. Taking into account 55 years unexpired we approximated the compensation to the freeholder for the lease extension to be within £33,300 and £38,400 exclusive of legals.