With a long leasehold premises in Llanymynech, you are actually purchasing a right to reside in a property for a prescribed time frame. In recent years flat leases are usually granted for 99 years or 125. Even though this may appear like a long period of time, you may think about extending the lease sooner as opposed to later. Accepted thinking is that the shorter the lease is the cost of extending the lease increases markedly especially when there are less than 80 years left. Residents in Llanymynech with a lease approaching 81 years unexpired should seriously consider extending it as soon as possible. When a lease has under 80 years left, under the relevant legislation the landlord can calculate and levy a greater premium, assessed on a technical calculation, known as “marriage value” which is due.
Leasehold properties in Llanymynech with over one hundred years outstanding on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such circumstances there is often little to be gained by buying the reversionary interest unless savings on ground rent and estate charges justify it.
| 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. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must also be not less than 75 years 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. |
| 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. |
Lease extensions in Llanymynech can be a difficult process. We recommend you get professional help from a conveyancing solicitor and surveyor well versed in the legislation and lease extension process.
We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have in-depth market knowledge procuring Llanymynech lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Trailing unsuccessful correspondence with the landlord of her purpose-built flat in Llanymynech, Bethan started the lease extension process as the 80 year threshold was swiftly coming. The legal work completed in February 2013. The landlord’s fees were negotiated to approximately 550 pounds.
In 2014 we were called by Dr Blake Garcia who, having completed a purpose-built apartment in Llanymynech in November 2002. The question was if we could shed any light on how much (approximately) price would likely be to extend the lease by 90 years. Similar residencies in Llanymynech with an extended lease were in the region of £191,000. The average ground rent payable was £65 invoiced quarterly. The lease expired in 2084. Considering the 58 years unexpired we approximated the compensation to the landlord for the lease extension to be between £23,800 and £27,400 exclusive of fees.
Dr Harvey Patel completed a purpose-built flat in Llanymynech in March 2008. We are asked if we could estimate the compensation to the landlord would be for a ninety year extension to my lease. Comparable properties in Llanymynech with an extended lease were valued about £250,000. The average ground rent payable was £50 invoiced per annum. The lease expired in 2095. Having 69 years outstanding we calculated the compensation to the landlord to extend the lease to be within £9,500 and £11,000 plus fees.