Top reasons for Llantwit Major lease extension

Top reasons for lease extension now:

Increase your lease and increase your Llantwit Major property value

Llantwit Major leases on residential deteriorating in value. Where your lease has in the region of ninety years remaining, you should start considering the need for a lease extension. If lease term falls under eighty years, you will then be required to pay 50% of the property's 'marriage value' in addition to the standard cost of the lease extension to the landlord. Marriage value is the amount of additional value that a lease extension will add to the property. Leasehold owners in Llantwit Major will mostly be legally entitled to a lease extension; however a solicitor should be able confirm if you qualify. In certain cases you may not qualify. There are prescribed timetables and formalities to comply with once the process is triggered so it’s wise to be guided by a lawyer during the process.

An extended lease is almost the same value as a freehold

It is generally accepted that a residential leasehold with over one hundred years remaining is worth approximately the equivalent as a freehold. Where an further ninety years added to all but the shortest lease, the property will be equivalent in value to a freehold for many years in the future.

Banks and Building Societies will not lend with a short lease

Mortgage lenders have set criteria when loaning monies charged on leasehold homes. Many will simply refrain from lending at all once an unexpired lease term goes lower than a certain unexpired lease term. Many Banks and Building Societies will not regard property with a remaining below seventy years as adequate security. In addition to impacting your ability to sell, it is also relevant where you are seeking to refinance your Llantwit Major home.

What makes us experts in Llantwit Major lease extensions?

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

Llantwit Major Lease Extension Case Summaries:

Harry, Llantwit Major, Vale Of Glamorgan

In recent months Harry, started to get near to the 80-year mark with the lease on his two bedroom apartment in Llantwit Major. In buying his home 19 years ago, the unexpired term was of little significance. Luckily, he recognised he needed to take action soon on Extending the lease. Harry arranged for a lease extension just under the wire last May. Harry and the landlord who owned the flat above eventually agreed on a premium of £5,000 . If he had missed the deadline, the amount would have escalated by at least £925.

Llantwit Major case:

Last Summer we were phoned by Mr and Mrs. T Thomas , who was assigned a lease of a purpose-built apartment in Llantwit Major in February 1996. We are asked if we could estimate the compensation to the landlord would be for a 90 year extension to my lease. Identical properties in Llantwit Major with 100 year plus lease were valued about £290,000. The average ground rent payable was £60 billed quarterly. The lease ended in 2106. Having 80 years unexpired we calculated the compensation to the landlord for the lease extension to be between £13,300 and £15,400 exclusive of legals.

Llantwit Major case:

In 2011 we were contacted by Dr C King who, having bought a basement apartment in Llantwit Major in April 1997. The dilemma was if we could estimate the premium would be to extend the lease by a further 90 years. Identical homes in Llantwit Major with an extended lease were worth £200,800. The mid-range ground rent payable was £65 collected quarterly. The lease ran out on 28 August 2086. Considering the 60 years outstanding we calculated the compensation to the landlord to extend the lease to be between £20,900 and £24,200 exclusive of legals.