There is no doubt about it a leasehold flat or house in Llanbedrog is a wasting asset as a result of the shortening lease. If the residual term has, in excess of 100 years remaining then this decrease may be fractional that being said there will become a point in time when a lease has less than 80 years unexpired as part of the premium you will incur is what is termed as a marriage value. This could be significant. It is the primary rational as to why you should extend the lease without delay. The majority of flat owners in Llanbedrog will qualify for this right; nevertheless a conveyancer can confirm whether you qualify for a lease extension. In limited situations you may not qualify, the most common reason being that you have not been the owner of the property for two years.
Leasehold residencies in Llanbedrog with more than one hundred years left on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such situations there is often little to be gained by buying the freehold unless savings on ground rent and estate charges warrant it.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Lloyds TSB Scotland | Minimum 70 years from the date of the mortgage. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Irrespective of whether you are a tenant or a freeholder in Llanbedrog,the lease extension solicitors that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Llanbedrog valuers.
16 months ago Daniel, started to get near to the 80-year threshold with the lease on his basement apartment in Llanbedrog. Having purchased his property twenty years ago, the length of the lease was of little bearing. Thankfully, he became aware that he needed to take action soon on Extending the lease. Daniel extended the lease just in the nick of time last March. Daniel and the freeholder via the management company in the end settled on an amount of £6,000 . If the lease had slid below eighty years, the price would have increased by at least £950.
In 2010 we were contacted by Mr John Petit who, having purchased a garden apartment in Llanbedrog in January 2008. We are asked if we could shed any light on how much (roughly) premium could be to extend the lease by 90 years. Comparable properties in Llanbedrog with a long lease were valued around £223,400. The mid-range amount of ground rent was £60 collected yearly. The lease expired on 23 October 2084. Given that there were 59 years unexpired we calculated the compensation to the landlord to extend the lease to be between £27,600 and £31,800 plus costs.
Mr and Mrs. K Baker purchased a basement flat in Llanbedrog in August 2008. The question was if we could shed any light on how much (roughly) price would be for a ninety year lease extension. Comparative premises in Llanbedrog with 100 year plus lease were in the region of £205,000. The average ground rent payable was £50 billed per annum. The lease ended in 2104. Given that there were 79 years left we estimated the premium to the freeholder to extend the lease to be within £8,600 and £9,800 exclusive of fees.