Why you should start your Gower lease extension

Main reasons to commence your Gower lease extension today:

A Gower lease depreciates with the years remaining on the lease.

There is no doubt about it a leasehold flat or house in Gower is a wasting asset as a result of the shortening lease. If the lease has, more than 125 years remaining then this decrease may be negligible however there will become a stage when a lease has less 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 main logic behind why you should extend the lease sooner rather than later. The majority of flat owners in Gower will meet the qualifying criteria; that being said a conveyancing solicitor can advise if you are eligible to extend your lease. In limited situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.

Gower property with a lease extension has roughly the same value as a freehold

It is conventional wisdom that a residential leasehold with in excess of one hundred years remaining is worth approximately the same as a freehold. Where an additional 90 years added to any lease with more than 35 years remaining, the premises will be equivalent in value to a freehold for decades to come.

Banks and Building Societies will not issue a mortgage on a short lease

Almost all mortgage companies require a lengthy amount of time remaining on any leasehold property before they will contemplate it as adequate security. Even if you don't require a mortgage, you should bear in mind that it is reasonable to assume that someone intending to buy your property in the future might well do, so where they are not able to secure a mortgage, then the value of the property could be adversely impacted. In the last decade many mortgage lenders have increased the required minimum lease length that they are prepared to grant a mortgage on

What makes us experts in Gower lease extensions?

Lease extensions in Gower can be a difficult process. We recommend you obtain professional help from a conveyancing solicitor and surveyor well versed in the legislation and lease extension process.

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 Gower lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Gower Lease Extension Example Cases:

Jasmine, Gower, Swansea,

After lengthy discussions with the freeholder of her garden apartment in Gower, Jasmine started the lease extension process just as her lease was coming close to the all-important eighty-year deadline. The transaction completed in January 2005. The freeholder’s costs were kept to an absolute minimum.

Gower case:

Last Winter we were called by Mr and Mrs. A Morris , who took over the lease of a one bedroom flat in Gower in June 2001. We are asked if we could estimate the price would likely be for a 90 year lease extension. Identical residencies in Gower with an extended lease were valued about £166,400. The mid-range amount of ground rent was £60 invoiced annually. The lease finished on 23 August 2080. Given that there were 54 years as a residual term we estimated the compensation to the landlord for the lease extension to be within £32,300 and £37,400 exclusive of costs.

Gower case:

In 2011 we were e-mailed by Mr and Mrs. Y Laurent who, having bought a one bedroom apartment in Gower in March 2010. We are asked if we could shed any light on how much (approximately) compensation to the landlord would be to extend the lease by 90 years. Comparable properties in Gower with an extended lease were valued about £232,800. The average amount of ground rent was £45 collected every twelve months. The lease expired in 2091. Taking into account 65 years remaining we approximated the premium to the landlord to extend the lease to be within £13,300 and £15,400 exclusive of expenses.