Main reasons to start your Meliden lease extension
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Main reasons to commence your Meliden lease extension today:
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Increase your lease and increase your <a href="http://www.lendermonitor.com/conveyancing/loc/meliden">Meliden</a> property value </h4>
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Meliden leases on residential properties are gradually diminishing in value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of the lease becomes more expensive. The majority of owners of residential leasehold property in Meliden enjoy rights under legislation to extend the terms of their leases. Where you are a leasehold owner in Meliden you should check if your lease has between seventy and 90 years left. There are compelling reasons why a Meliden flat owner with a lease having around eighty years left should take action to ensure that a lease extension is actioned without delay <h4>Meliden property with a lease extension is almost the same value as a freehold</h4>
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Leasehold premises in Meliden with over 100 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 home. In such situations there is often little to be gained by buying the reversionary interest unless savings on ground rent and service charges justify it. <h4>Lenders will not finance a property with a short lease</h4> Banks and Building Societies are less likely to give a loan offer on a residential property in Meliden with a short lease. Many lenders simply refuse a mortgage on leases with under 75 years left.
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<th> Requirement
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<td>Accord Mortgages</td>
<td> 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.
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<td>Barclays plc</td>
<td> Leases with less than 70 years at the commencement of the mortgage should be declined (see exception below).<br /><br />Leases with greater than 70 years but fewer than 85 years remaining must be referred to issuing office.<br /><br />Leases with fewer than 70 years should only be referred to the issuing office where the following scenario applies, as discretion may be applied subject to bank approval:<br /><br />• Property is located in any of the following prestigious developments: Cadogan, Crown, Grosvenor, Howard de Walden, Portman or Wellcome Trust Estates in Central London AND<br />• The value of the property subject to the short remaining term is £500,000 or more AND<br />• The loan to value does not exceed 90% for purchases, 90% like for like re-mortgages, 80% for re-mortgages with any element of capital raising and 80% for existing Barclays mortgage borrowers applying for additional borrowing;
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<td>Halifax</td>
<td> Minimum 70 years from the date of the mortgage.
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<td>National Westminster Bank</td>
<td> Mortgage term plus 30 years.<br /><br />For Shared Ownership, the remaining term of the lease must also be not less than 75 years at the outset of the mortgage.
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<td>Yorkshire Building Society</td>
<td> 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.
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<h4> Get in touch with one of our Meliden lease extension solicitors or enfranchisement solicitors
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Lease extensions in Meliden can be a difficult process. We recommend you get professional help from a conveyancing solicitor and surveyor with experience in this area.
<p>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 a wealth of experience dealing with Meliden lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
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Meliden Lease Extension Case Studies:
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<h5> Dexter, Meliden, Denbighshire,</h5>
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Dexter was the the leasehold proprietor of a conversion flat in Meliden being sold with a lease of fraction over fifty eight years unexpired. Dexter informally approached his landlord a well known local-based freehold company and enquired on a premium to extend the lease. The landlord was keen to agree an extension on non-statutory terms taking the lease to 125 years on the basis of a rise in the rent to £50 annually. Ordinarily, ground rent would not be due on a lease extension were Dexter to invoke his statutory right. Dexter procured expert legal guidance and was able to make a more informed decision and handle with the matter and ending up with a market value flat.
<h5>Meliden case:</h5>
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In 2012 we were approached by Mr V Mercier who, having completed a studio flat in Meliden in March 2011. The question was if we could shed any light on how much (approximately) price would likely be to extend the lease by ninety years. Comparative flats in Meliden with an extended lease were in the region of £174,200. The average amount of ground rent was £55 billed monthly. The lease terminated on 21 August 2077. Considering the 51 years outstanding we approximated the premium to the freeholder to extend the lease to be within £31,400 and £36,200 plus costs.
<h5>Meliden case:</h5>
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Last Autumn we were approach by Mrs J Rivera , who
was assigned a lease of a one bedroom apartment in Meliden in July 2004. The question was if we could shed any light on how much (roughly) price could be to prolong the lease by 90 years. Comparative flats in Meliden with an extended lease were worth £285,000. The mid-range ground rent payable was £45 invoiced every twelve months. The lease finished in 2097. Having 71 years as a residual term we estimated the premium to the freeholder for the lease extension to be between £12,400 and £14,200 plus expenses.
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