Top reasons for Llandudno lease extension

Top reasons for lease extension now:

A Llandudno lease depreciates with the years remaining on the lease.

Llandudno leases on residential properties are gradually losing value. if your lease has approximately 90 years left, you should start considering the need for a lease extension. 80 years is a significant number: when the remaining term of a lease falls below this level then you start paying an additional element called marriage value. Leasehold owners in Llandudno will usually qualify for a lease extension; however it’s a good idea to check with a conveyancer to confirm if you qualify. In some situations you may not be entitled. There are prescribed timetables and procedures to follow once the process has commenced so it’s prudent to be guided by a conveyancing solicitor during the process.

Llandudno property with a lease extension is almost the same value as a freehold

Leasehold properties in Llandudno with in excess of one hundred years remaining on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little to be gained by buying the reversionary interest unless savings on ground rent and service charges merit it.

Banks and Building Societies may not lend on a short lease

The propensity since over the last decade has been for banks to tighten lending requirements generally - this has extended to the property over which the mortgage is to be granted. This has meant the unexpired lease term required by banks has increased. Historically mortgage companies would grant a mortgage on a lease with 25 years plus the term of the loan - routinely fifty year leases but those requirements are being increasingly undermined by the requirement for longer and longer leases - many use a minimum term of 75 years as standard.

Why use us for your lease extension in Llandudno?

Retaining our service will provide you enhanced control over the value of your Llandudno leasehold, as your property will be more valuable and saleable in relation to the lease length should you wish to sell. The conveyancers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.

Llandudno Lease Extension Case Summaries:

Mia, Llandudno, Conwy,

Following protracted discussions with the landlord of her two bedroom flat in Llandudno, Mia initiated the lease extension process as the 80 year threshold was quickly advancing. The transaction was finalised in November 2008. The landlord’s charges were kept to an absolute minimum.

Llandudno case:

In 2014 we were contacted by Mr and Mrs. N Patel who, having acquired a one bedroom flat in Llandudno in February 2002. We are asked if we could approximate the compensation to the landlord would be to prolong the lease by a further 90 years. Comparable premises in Llandudno with a long lease were valued around £171,800. The average amount of ground rent was £55 billed per annum. The lease terminated on 25 January 2075. Considering the 50 years outstanding we approximated the premium to the freeholder to extend the lease to be between £33,300 and £38,400 plus fees.

Llandudno case:

Mr B Nguyen took over the lease of a ground floor flat in Llandudno in May 2008. We are asked if we could shed any light on how much (roughly) premium would be for a ninety year lease extension. Similar premises in Llandudno with 100 year plus lease were worth £280,000. The mid-range ground rent payable was £45 invoiced every twelve months. The lease ran out in 2095. Taking into account 70 years as a residual term we calculated the compensation to the freeholder to extend the lease to be within £12,400 and £14,200 plus costs.