There is no doubt about it a leasehold flat or house in Llangefni is a wasting asset as a result of the diminishing lease term. Where the residual term has, in excess of 100 years remaining then this decrease may be negligible that being said there will become a stage when a lease has under than 80 years remaining as part of the premium you will incur is what is termed as a marriage value. This could increase markedly the cost. It is the main reason why you should extend the lease without delay. Most flat owners in Llangefni will qualify for this right; however a lawyer can advise whether you qualify for a lease extension. In certain situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.
It is conventional wisdom that a residential leasehold with over one hundred years remaining is worth roughly the same as a freehold. Where an additional ninety years added to any lease with more than 30 years unexpired, the residence will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower. |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| Yorkshire Building Society | 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower. |
The conveyancers that we work with undertake Llangefni lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancing solicitor we work with provide it.
Trailing lengthy negotiations with the landlord of her garden flat in Llangefni, Rhiannon started the lease extension process as the 80 year deadline was fast nearing. The legal work was finalised in November 2009. The landlord’s charges were kept to an absolute minimum.
Dr G Leroy owned a ground floor flat in Llangefni in April 2009. We are asked if we could approximate the price could be to extend the lease by ninety years. Comparable premises in Llangefni with 100 year plus lease were worth £240,600. The average amount of ground rent was £60 collected annually. The lease came to a finish on 28 April 2087. Having 62 years as a residual term we calculated the premium to the freeholder for the lease extension to be between £21,900 and £25,200 not including expenses.
In 2012 we were e-mailed by Mr and Mrs. K Ramírez who, having was assigned a lease of a purpose-built apartment in Llangefni in August 1999. We are asked if we could approximate the compensation to the landlord could be for a 90 year extension to my lease. Comparative premises in Llangefni with an extended lease were valued about £174,200. The mid-range amount of ground rent was £55 collected yearly. The lease concluded on 12 April 2076. Considering the 51 years left we calculated the premium to the landlord to extend the lease to be within £31,400 and £36,200 exclusive of costs.