Why you should commence your Hirwaun lease extension

Why you should commence your Hirwaun lease extension today:

Increase your lease and increase your Hirwaun property value

The market value of Hirwaun leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The cost of a lease extension can escalate significantly once the remaining term is less than eighty years

Hirwaun property with a lease extension is almost the same value as a freehold

It is conventional wisdom that a property with more than 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an additional ninety years added to any lease with more than 45 years unexpired, the property will be worth the same as a freehold for many years in the future.

Mortgage lenders will not lend on a short lease

The propensity since over the last decade has been for banks to tighten lending criteria across the board - this has extended to the property over which the home loan is to be charged. This has meant the minimum number of years remaining under the lease required by banks has increased. Historically banks were content with 25 years plus the term of the loan - typically fifty year leases but those requirements evolved by the requirement for longer and longer leases - many now have a minimum term of 75 years as a prerequisite.

Why use us for your lease extension in Hirwaun?

The conveyancing solicitors that we work with handle Hirwaun 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 conveyancing solicitor we work with provide it.

Hirwaun Lease Extension Example Cases:

Courtney, Hirwaun, Abercynon,

After protracted negotiations with the landlord of her leasehold apartment in Hirwaun, Courtney started the lease extension process just as the lease was nearing the all-important eighty-year mark. The legal work was concluded in August 2010. The landlord’s fees were restricted to approximately six hundred pounds.

Hirwaun case:

Mr and Mrs. D Richardson bought a ground floor flat in Hirwaun in May 2011. The dilemma was if we could approximate the compensation to the landlord would be to prolong the lease by a further 90 years. Comparative homes in Hirwaun with an extended lease were in the region of £256,600. The average ground rent payable was £60 invoiced every twelve months. The lease expiry date was in 2078. Taking into account 52 years outstanding we calculated the compensation to the landlord for the lease extension to be between £41,800 and £48,400 not including fees.

Hirwaun case:

Mr and Mrs. K Davies owned a newly refurbished apartment in Hirwaun in April 2001. The question was if we could shed any light on how much (roughly) premium could be for a 90 year extension to my lease. Similar homes in Hirwaun with 100 year plus lease were in the region of £218,000. The mid-range amount of ground rent was £45 invoiced yearly. The lease terminated on 26 October 2089. Having 63 years as a residual term we approximated the compensation to the freeholder for the lease extension to be within £17,100 and £19,800 not including expenses.