Unfortunately that a Llanddulas residential lease is a deteriorating asset. The lease value drops in proportion to its lease length. The extent of this is taken for granted in the early years due to the deflation being disguised by increases in the Llanddulas property prices.Where your lease has approximately ninety years left, you need to 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 falls under eighty years - otherwise a higher amount will be payable. Most flat owners in Llanddulas will be able to extend under the legislation; however a conveyancer will be able to clarify if you are eligibility. In some situations you may not be entitled. There are also strict timetables and procedures to follow once the process has commenced and you will need to be guided by your conveyancing solicitor for the duration of the formalities.
Leasehold premises in Llanddulas with more than 100 years remaining on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such circumstances there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and maintenance charges warrant it.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Santander | You must report the unexpired lease term to us and await our instructions if: 1. the unexpired term assumed by our valuer is between 55 and 82 years, but the actual unexpired term differs by more than one year (whether longer or shorter); or 2. the unexpired term assumed by our valuer is more than 82 years but the actual unexpired term is less than 82 years; or 3. no valuation report is provided However, we will not accept a lease where on expiry of the mortgage: (i) less than 50 years remain and all or part of the loan is repaid on an interest-only basis: or (ii) less than 30 years remain and the loan is repaid on a capital and interest basis We will accept a lease that has been extended under the provisions of the Leasehold Reform Act 1993 provided statutory compensation would be available to the leaseholder. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
Lease extensions in Llanddulas can be a difficult process. We recommend you procure guidance from a conveyancing solicitor 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 a wealth of experience procuring Llanddulas lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
In the wake of 9 months of protracted discussions with the freeholder of her purpose-built apartment in Llanddulas, Melissa started the lease extension process as the eighty year mark was swiftly nearing. The lease extension was finalised in September 2012. The landlord’s costs were kept to an absolute minimum.
In 2009 we were phoned by Mr and Mrs. T Smith who, having completed a basement flat in Llanddulas in January 2001. We are asked if we could estimate the price would be for a 90 year lease extension. Comparable homes in Llanddulas with an extended lease were worth £290,000. The average ground rent payable was £45 collected monthly. The lease concluded in 2098. Having 73 years outstanding we approximated the compensation to the freeholder to extend the lease to be between £8,600 and £9,800 exclusive of fees.
In 2012 we were e-mailed by Mr and Mrs. T Murphy who, having moved into a studio apartment in Llanddulas in August 2000. We are asked if we could shed any light on how much (roughly) premium could be to prolong the lease by a further 90 years. Comparable premises in Llanddulas with a long lease were in the region of £240,600. The mid-range ground rent payable was £60 billed monthly. The lease ended on 17 October 2087. Having 62 years remaining we approximated the compensation to the freeholder to extend the lease to be between £21,900 and £25,200 exclusive of legals.