Llandough leases on domestic deteriorating in value. Where your lease has about 90 years unexpired, you should start considering the need for a lease extension. It is important to recognise that it is that it is desirable for your lease extension to be in place before the term of the existing lease dips below eighty years - otherwise a higher amount will be due. Leasehold owners in Llandough will usually qualify for a lease extension; however it’s a good idea to check with a conveyancer to check if you qualify. In some situations you may not qualify. There are prescribed timetables and steps to comply with once the process is triggered so it’s best to be guided by a conveyancer during the process.
Leasehold premises in Llandough with over 100 years remaining on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little to be gained by buying the reversionary interest unless savings on ground rent and service charges justify 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. |
| Coventry Building Society | A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion. |
| Leeds Building Society | 85 years remaining from the start 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. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
Irrespective of whether you are a tenant or a freeholder in Llandough,the lease extension lawyers that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Llandough valuers.
Following unsuccessful correspondence with the landlord of her one bedroom apartment in Llandough, Paige started the lease extension process just as the lease was approaching the crucial 80-year deadline. The lease extension was finalised in January 2013. The landlord’s costs were kept to an absolute minimum.
Ms K Collins moved into a studio apartment in Llandough in January 2012. We are asked if we could shed any light on how much (approximately) premium could be for a ninety year extension to my lease. Similar residencies in Llandough with a long lease were worth £280,000. The average ground rent payable was £55 collected quarterly. The lease came to a finish in 2104. Having 78 years as a residual term we approximated the premium to the freeholder for the lease extension to be within £13,300 and £15,400 plus professional charges.
In 2013 we were called by Dr Nathan Edwards who, having purchased a newly refurbished flat in Llandough in September 1998. We are asked if we could estimate the price would likely be to extend the lease by 90 years. Comparable residencies in Llandough with an extended lease were valued around £191,000. The average amount of ground rent was £65 invoiced quarterly. The lease ended on 4 September 2084. Given that there were 58 years unexpired we approximated the compensation to the freeholder to extend the lease to be between £23,800 and £27,400 exclusive of costs.