Why you should start your Llangefni lease extension

Why you should commence your Llangefni lease extension today:

Increase your lease and increase your Llangefni property value

Llangefni leases on residential properties are gradually decreasing in value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of the lease becomes more expensive. It is the case that most Llangefni tenants have the right to extend their lease by an additional 90 years under the 1993 Leasehold Reform Act. Where you are a leasehold owner in Llangefni you really ought to check if your lease has between 70 and 90 years remaining. In particular once the remaining lease term slips under 80 years, the compensation to the landlord for any lease extension increases dramatically as part of the premium you will incur is what is known as a marriage value

An extended lease is almost the same value as a freehold

Leasehold residencies in Llangefni with over one hundred years outstanding on the lease are often referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such circumstances there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and service charges warrant it.

Banks and Building Societies will not lend with a short lease

Mortgage companies are tightening their criteria and a meaningful number now require flats to have at least sixty if not seventy years remaining at the expiry of the mortgage. Considering many flats in Llangefni were created in the fifties, sixties and seventies as a result many now need to be extended if they if they are to be mortgageable.

Why use us for your lease extension in Llangefni?

Irrespective of whether you are a tenant or a freeholder in Llangefni,the lease extension lawyers that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Llangefni valuers.

Llangefni Lease Extension Example Cases:

Amber, Llangefni, Isle Of Anglesey,

Trailing unsuccessful negotiations with the freeholder of her two bedroom apartment in Llangefni, Amber commenced the lease extension process just as her lease was approaching the all-important eighty-year threshold. The legal work completed in November 2008. The landlord’s fees were kept to an absolute minimum.

Llangefni case:

In 2009 we were contacted by Dr F Mason who, having was assigned a lease of a first floor apartment in Llangefni in March 1996. We are asked if we could estimate the compensation to the landlord would likely be for a 90 year lease extension. Similar properties in Llangefni with a long lease were in the region of £257,800. The mid-range ground rent payable was £65 collected every twelve months. The lease ended in 2091. Having 65 years unexpired we estimated the premium to the landlord for the lease extension to be between £18,100 and £20,800 exclusive of expenses.

Llangefni case:

In 2009 we were approached by Dr B Mason who, having was assigned a lease of a purpose-built apartment in Llangefni in April 2001. We are asked if we could approximate the price would likely be to extend the lease by an additional years. Similar residencies in Llangefni with an extended lease were valued about £191,400. The mid-range ground rent payable was £55 billed annually. The lease terminated in 2080. Given that there were 54 years left we approximated the premium to the landlord to extend the lease to be within £34,200 and £39,600 plus expenses.