Unfortunately that a Llanbradach residential lease is a wasting asset. As the lease term diminishes so does the value of the property. The extent of this is taken for granted in the early years due to the deflation being disguised by increases in the Llanbradach property prices.Once your lease gets to 85ish years, you should start thinking about a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease slips below 80 years - otherwise a higher premium will be payable. The majority of leasehold owners in Llanbradach will be able to extend under the legislation; however a lawyer should be able to confirm if you are eligibility. In some situations you may not be entitled. There are also strict timeframes and procedures to be adhered to once the process is initiated and you will need to be guided by your conveyancing solicitor from beginning to end of the formalities.
It is conventional wisdom that a residential leasehold with more than one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional ninety years added to any lease with more than 35 years remaining, the property will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Chelsea Building Society | |
| Godiva Mortgages | |
| Skipton Building Society | |
| Yorkshire Building Society |
The lawyers that we work with handle Llanbradach 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 conveyancer we work with provide it.
Off the back of protracted discussions with the landlord of her basement apartment in Llanbradach, Poppy started the lease extension process just as her lease was approaching the all-important eighty-year threshold. The transaction completed in June 2012. The landlord’s costs were restricted to approximately five hundred pounds.
Last June we were approach by Dr William Ricardo , who completed a basement flat in Llanbradach in June 2002. The question was if we could shed any light on how much (approximately) price would be to prolong the lease by ninety years. Similar premises in Llanbradach with an extended lease were valued around £261,600. The mid-range ground rent payable was £60 collected per annum. The lease expired in 2078. Considering the 52 years outstanding we approximated the compensation to the freeholder to extend the lease to be between £39,000 and £45,000 plus fees.
Mrs D Evans completed a one bedroom flat in Llanbradach in February 2004. The dilemma was if we could shed any light on how much (approximately) compensation to the landlord would likely be to prolong the lease by a further 90 years. Identical premises in Llanbradach with an extended lease were worth £218,000. The average amount of ground rent was £45 collected every twelve months. The lease concluded on 21 March 2089. Given that there were 63 years unexpired we approximated the premium to the freeholder for the lease extension to be within £17,100 and £19,800 plus fees.