When it comes to long leasehold property in Llantrisant, you effectively rent it for a certain amount of time. Modern flat leases are usually granted for 99 years or 125. Many leasehold owners are unconcerned as this seems like a lengthy period of time, you should consider a lease extension sooner rather than later. The general rule is that the shorter the lease is the cost of extending the lease increases markedly especially when there are fewer than eighty years remaining. Leasehold owners in Llantrisant with a lease nearing 81 years remaining should seriously think of extending it without delay. Once the lease term has fewer than eighty years left, under the current statute the freeholder can calculate and charge a larger amount, assessed on a technical computation, strangely termed as “marriage value” which is payable.
It is generally accepted that a property with in excess of one hundred years unexpired lease term is worth roughly the equivalent as a freehold. Where an further 90 years added to any lease with more than 35 years unexpired, the residence will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Chelsea 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must be at least 75 years plus the term of the mortgage at the outset of the mortgage. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Irrespective of whether you are a tenant or a freeholder in Llantrisant,the lease extension experts 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 Llantrisant valuers.
Twenty four months ago Evan, came very close to the eighty-year threshold with the lease on his purpose- built flat in Llantrisant. In buying his flat two decades ago, the length of the lease was of no significance. Thankfully, it dawned on him that he needed to take action soon on a lease extension. Evan arranged for a lease extension at the eleventh hour in April. Evan and the landlord who owned the flat above in the end settled on an amount of £5,000 . If he not met the deadline, the amount would have gone up by a minimum £875.
Mr and Mrs. D Kelly took over the lease of a ground floor flat in Llantrisant in February 1996. We are asked if we could estimate the premium would be for a 90 year lease extension. Comparative residencies in Llantrisant with 100 year plus lease were in the region of £181,600. The mid-range amount of ground rent was £55 billed quarterly. The lease termination date was on 10 September 2078. Having 52 years left we approximated the premium to the freeholder for the lease extension to be between £30,400 and £35,200 not including professional charges.
Last Summer we were e-mailed by Dr Riley Johnson , who bought a one bedroom apartment in Llantrisant in July 2007. The question was if we could approximate the compensation to the landlord would likely be for a ninety year extension to my lease. Identical premises in Llantrisant with an extended lease were worth £285,000. The average ground rent payable was £45 invoiced monthly. The lease terminated in 2098. Given that there were 72 years outstanding we estimated the compensation to the freeholder to extend the lease to be between £12,400 and £14,200 plus professional charges.