The market value of a leasehold property in Llay is impacted by how many years the lease has left to run. If it is close to or less than 80 years you should expect problems on re-sale, so it is advisable to arrange for the lease to be extended before buying. It is preferable to commence the lease extension process when a lease still has 82 years to run so that all matters can be addressed well before the 80 year threshold. Current legislation enables Llay qualifying lessees to an additional term of 90 years over and above the remaining term, at a peppercorn rent (zero ground rent). The purpose of the valuation is to determine the premium payable by the lessee to the freeholder for the acquisition of the lease extension.
It is generally accepted that a residential leasehold with more than one hundred years remaining is worth roughly the same as a freehold. Where an additional ninety years added to all but the shortest lease, the residence will be worth the same as a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Chelsea Building Society | |
| Coventry Building Society | |
| Godiva Mortgages | |
| Nationwide Building Society |
Lease extensions in Llay can be a difficult process. We recommend you procure guidance from a conveyancing solicitor and surveyor with experience in this area.
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 Llay lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Last October Evan, came precariously close to the eighty-year threshold with the lease on his two bedroom apartment in Llay. In buying his home 19 years ago, the length of the lease was of minimal importance. Thankfully, he became aware that he needed to take steps soon on a lease extension. Evan arranged for a lease extension just under the wire in March. Evan and the freeholder via the managing agents eventually agreed on an amount of £5,000 . If the lease had dropped to less than 80 years, the premium would have increased by at least £925.
Mr and Mrs. A Morris moved into a one bedroom apartment in Llay in July 2012. We are asked if we could shed any light on how much (approximately) price could be to prolong the lease by a further 90 years. Identical residencies in Llay with a long lease were worth £267,600. The average ground rent payable was £65 collected yearly. The lease terminated in 2093. Taking into account 67 years remaining we estimated the compensation to the freeholder to extend the lease to be between £14,300 and £16,400 not including expenses.
In 2011 we were e-mailed by Mr and Mrs. E Leroy who, having was assigned a lease of a purpose-built apartment in Llay in August 1995. The question was if we could approximate the price could be to prolong the lease by 90 years. Comparable residencies in Llay with an extended lease were valued around £206,200. The average amount of ground rent was £55 collected annually. The lease termination date was in 2082. Given that there were 56 years outstanding we approximated the compensation to the landlord to extend the lease to be between £31,400 and £36,200 exclusive of professional charges.