Why you should commence your Llangammarch Wells lease extension

Main reasons to commence your Llangammarch Wells lease extension today:

A Llangammarch Wells leasehold property depreciates with the years remaining on the lease.

Llangammarch Wells leases on residential properties are gradually decreasing in value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of the lease gets more expensive. Legislation has been in place for sometime now allowing qualifying Llangammarch Wells residential leaseholders to extend the terms of long leases. Where you are a leasehold owner in Llangammarch Wells you should check if your lease has between seventy and 90 years left. In particular once the remaining lease term slips under eighty years, the compensation to the landlord for any lease extension increases dramatically as part of the premium you pay is what is known as a marriage value

An extended lease has roughly the same value as a freehold

Leasehold properties in Llangammarch Wells with in excess of 100 years left 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 freehold unless savings on ground rent and estate charges justify it.

Lenders may not finance a property with a short lease

Lenders are tightening their criteria and many now require flats to have a minimum of 60 if not 70 years remaining once the mortgage has expired. As a number of flats in Llangammarch Wells were created in the 1950s, 1960s and 1970s as a result many now need to be extended if they if they are to be mortgageable.

What makes us experts in Llangammarch Wells lease extensions?

Using our service will provide you increased control over the value of your Llangammarch Wells leasehold, as your property will be more valuable and marketable in terms of lease length should you wish to sell. The conveyancing solicitors that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.

Llangammarch Wells Lease Extension Example Cases:

Daniel, Llangammarch Wells, Powys,

Daniel owned a 2 bedroom flat in Llangammarch Wells on the market with a lease of just over fifty eight years left. Daniel on an informal basis approached his freeholder being a well known local-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to grant an extension taking the lease to 125 years subject to an increased rent to £50 annually. No ground rent would be due on a lease extension were Daniel to exercise his statutory right. Daniel obtained expert advice and was able to make an informed decision and deal with the matter and readily saleable.

Llangammarch Wells case:

In 2011 we were e-mailed by Mr Lewis Rivera who, having completed a first floor flat in Llangammarch Wells in August 1996. We are asked if we could approximate the premium would be for a 90 year lease extension. Similar premises in Llangammarch Wells with 100 year plus lease were worth £255,000. The average ground rent payable was £50 collected monthly. The lease finished on 3 October 2096. Taking into account 70 years remaining we estimated the premium to the freeholder for the lease extension to be within £10,500 and £12,000 exclusive of legals.

Llangammarch Wells case:

In 2014 we were e-mailed by Mrs Francesca Dupont who, having bought a one bedroom apartment in Llangammarch Wells in March 2011. We are asked if we could shed any light on how much (approximately) price would likely be to prolong the lease by a further 90 years. Comparable flats in Llangammarch Wells with an extended lease were worth £246,800. The mid-range amount of ground rent was £60 billed quarterly. The lease came to a finish on 10 September 2076. Given that there were 50 years outstanding we estimated the premium to the landlord to extend the lease to be between £44,700 and £51,600 plus expenses.