Harlech leases on domestic deteriorating in value. if your lease has approximately ninety years unexpired, you should start thinking about a lease extension. If lease term dips under 80 years, you will then be required to pay 50% of the property's 'marriage value' in addition to the usual cost of the lease extension to the landlord. Marriage value is the amount of extra value that a lease extension will add to the property. Leasehold owners in Harlech will usually be legally entitled to a lease extension; however It would be wise to check with a conveyancer to check your eligibility. In certain cases you may not be entitled. There are also strict timetables and procedures to comply with once the process has commenced so it’s sensible to be guided by a conveyancing solicitor during the process.
Leasehold residencies in Harlech with more than one hundred years remaining on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little upside in buying the freehold unless savings on ground rent and estate charges warrant it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Barclays plc | |
| Barnsley Building Society | |
| Godiva Mortgages | |
| National Westminster Bank |
Lease extensions in Harlech can be a difficult process. We recommend you obtain guidance from a lawyer and valuer 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 procuring Harlech lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Half a year ago Freddie, came seriously near to the 80-year threshold with the lease on his leasehold flat in Harlech. Having bought his home two decades ago, the lease term was of minimal relevance. by good luck, it dawned on him that he would imminently be paying an inflated amount for a lease extension. Freddie extended the lease just in the nick of time last June. Freddie and the freeholder via the management company ultimately settled on a premium of £5,000 . If he not met the deadline, the premium would have gone up by a minimum £1,075.
In 2010 we were approached by Dr Abbie David who, having moved into a one bedroom flat in Harlech in May 1998. We are asked if we could shed any light on how much (roughly) premium would likely be to prolong the lease by an additional years. Comparable properties in Harlech with an extended lease were in the region of £300,000. The average amount of ground rent was £50 collected every twelve months. The lease expiry date was in 2101. Having 75 years outstanding we approximated the premium to the landlord for the lease extension to be within £9,500 and £11,000 plus fees.
In 2013 we were approached by Ms Y Michel who, having acquired a recently refurbished flat in Harlech in April 1998. The dilemma was if we could estimate the premium would likely be to prolong the lease by an additional years. Similar properties in Harlech with a long lease were in the region of £250,400. The average ground rent payable was £65 invoiced per annum. The lease expiry date was in 2090. Taking into account 64 years left we approximated the premium to the landlord to extend the lease to be between £19,000 and £22,000 not including professional charges.