Gwersyllt leases on residential properties are gradually decreasing in value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of the lease gets more expensive. Most owners of residential leasehold property in Gwersyllt enjoy rights under legislation to extend the terms of their leases. Where you are a leasehold owner in Gwersyllt you should check if your lease has between seventy and 90 years left. In particular once the remaining lease term slips under eighty years, the amount payable for any lease extension increases dramatically as an element of the premium you pay is what is known as a marriage value
It is generally considered that a residential leasehold with over 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 residence will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Chelsea 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. |
| Coventry Building Society | A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion. |
| Halifax | 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. |
Regardless of whether you are a tenant or a freeholder in Gwersyllt,the lease extension experts that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Gwersyllt valuers.
Subsequent to unsuccessful discussions with the landlord of her leasehold flat in Gwersyllt, Laura initiated the lease extension process just as the lease was coming close to the crucial eighty-year mark. The legal work was finalised in April 2015. The freeholder’s fees were restricted to about 500 pounds.
Last July we were e-mailed by Mrs I Ramírez , who was assigned a lease of a purpose-built flat in Gwersyllt in August 2001. The question was if we could shed any light on how much (roughly) price could be to prolong the lease by an additional years. Comparative flats in Gwersyllt with 100 year plus lease were valued about £176,200. The mid-range amount of ground rent was £65 billed quarterly. The lease terminated on 24 August 2081. Taking into account 56 years unexpired we approximated the compensation to the freeholder to extend the lease to be between £29,500 and £34,000 not including expenses.
In 2012 we were contacted by Mr and Mrs. W Lambert who, having completed a one bedroom flat in Gwersyllt in September 2003. We are asked if we could shed any light on how much (approximately) price could be for a ninety year lease extension. Comparative homes in Gwersyllt with 100 year plus lease were valued about £242,600. The average amount of ground rent was £45 collected every twelve months. The lease expiry date was in 2092. Taking into account 67 years left we approximated the premium to the landlord to extend the lease to be within £11,400 and £13,200 exclusive of fees.