Main reasons to commence your Llandaff lease extension

Main reasons to start your Llandaff lease extension today:

A Llandaff leasehold property depreciates with the years remaining on the lease.

Llandaff leases on residential properties are gradually losing value. Where your lease has about 90 years left, you should start thinking about a lease extension. An important point to note is that it is desirable for a lease extension to take place before the term of the current lease drops lower than 80 years - otherwise a higher premium will be due. Flat owners in Llandaff will mostly qualify for a lease extension; however a solicitor will check your eligibility. In certain circumstances you may not qualify. There are also strict deadlines and procedures to comply with once the process has commenced so it’s best to be guided by a lawyer during the process.

An extended lease is almost the same value as a freehold

It is generally considered that a residential leasehold with more than one hundred years remaining is worth roughly the equivalent as a freehold. Where an further ninety years added to all but the shortest lease, the residence will be equivalent in value to a freehold for many years in the future.

Lending institutions may not finance a property on a short lease

Mortgage lenders have set criteria when lending monies charged on leasehold homes. Many will simply refrain from lending at all once an unexpired lease term drops lower than a certain unexpired lease term. Many Banks and Building Societies will not consider property with a remaining below 75 years as adequate security. As well as this being important when selling, it is also relevant where you are intending to remortgage your Llandaff property.

Why use us for your lease extension in Llandaff?

Lease extensions in Llandaff can be a difficult process. We recommend you get guidance from a lawyer and valuer with experience in this area.

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 a wealth of experience procuring Llandaff lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Llandaff Lease Extension Case Studies:

Blake, Llandaff, Cardiff

Last Christmas Blake, started to get close to the 80-year threshold with the lease on his garden apartment in Llandaff. In buying his property 18 years previously, the unexpired term was of no concern. Fortunately, it dawned on him that he would imminently be paying an escalated premium for Extending the lease. Blake was able to extend his lease just ahead of time in August. Blake and the freeholder ultimately settled on the final figure of £6,000 . If the lease had slid lower than 80 years, the figure would have escalated by at least £950.

Llandaff case:

In 2011 we were contacted by Dr J Gunderson who, having took over the lease of a one bedroom apartment in Llandaff in August 2005. We are asked if we could estimate the premium would likely be for a 90 year lease extension. Similar flats in Llandaff with an extended lease were worth £250,000. The average ground rent payable was £50 collected annually. The lease came to a finish in 2095. Considering the 69 years remaining we approximated the premium to the landlord to extend the lease to be within £9,500 and £11,000 plus professional charges.

Llandaff case:

Dr J Williams acquired a basement flat in Llandaff in July 2009. The dilemma was if we could shed any light on how much (roughly) premium could be for a 90 year lease extension. Comparative premises in Llandaff with a long lease were valued around £290,000. The average amount of ground rent was £60 collected annually. The lease came to a finish on 20 August 2106. Taking into account 80 years left we estimated the compensation to the freeholder to extend the lease to be within £12,400 and £14,200 plus expenses.