Why you should start your Mold lease extension
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<h3> Top reasons for lease extension now:
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<h4>
Increase your lease and increase your <a href="http://www.lendermonitor.com/conveyancing/loc/mold">Mold</a> property value </h4>
<p> Unfortunately that a Mold residential lease is a deteriorating asset. The lease value drops in proportion to its lease length. The extent of this is taken for granted in the first few years due to the depreciation being disguised by increases in the Mold property prices.Where your lease has approximately ninety years left, you should start considering a lease extension. If the number of years remaining dips below 80 years, you will then be required to pay 50% of the property's 'marriage value' on top of the usual cost of the lease extension to the landlord. The marriage fee is the amount of extra value that a lease extension will add the property Most flat owners in Mold will be able to extend under the legislation; however a lawyer will be able to confirm if you are eligibility. In some situations you may not qualify. There are also strict deadlines and procedures to be adhered to once the process has commenced and you will need to be guided by your conveyancing solicitor throughout the formalities.
<h4>An extended lease is almost the same value as a freehold</h4>
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Leasehold properties in Mold with in excess of one hundred years left on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such circumstances there is often little upside in purchasing the freehold unless savings on ground rent and service charges warrant it. <h4>Banks and Building Societies may not finance a property with a short lease</h4> Nearly all banks and building societies will be unwilling to lend on a lease with less than seventy years left to run - although this varies between mortgage companies. A buyer will undoubtedly find it difficult in obtaining a mortgage and this will result in your Mold property becoming difficult to sell or refinance. <p>
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<tr><th>Lender</th>
<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>Barnsley Building Society</td>
<td> 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term.
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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 be at least 75 years plus the term of the mortgage at the outset of the mortgage.
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<td>Skipton Building Society</td>
<td> 85 years from the date of completion of the mortgage<br /><br />For Buy to Let cases:<br />- lettings must not breach any of the lessee’s covenants; and<br />- consent of the lessor to lettings must be obtained if necessary
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Why use us for your lease extension in Mold? </h4>
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The lawyers that we work with procure Mold lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancing solicitor we work with provide it.
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Mold Lease Extension Example Cases:
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<h5> Mia, Mold, Flintshire,</h5>
<p> Subsequent to lengthy discussions with the landlord of her one bedroom flat in Mold, Mia started the lease extension process as the 80 year mark was quickly approaching. The lease extension completed in September 2014. The freeholder’s costs were kept to an absolute minimum.
<h5>Mold case:</h5>
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In 2013 we were called by Mr and Mrs. I André who, having took over the lease of a purpose-built apartment in Mold in November 1997. The question was if we could shed any light on how much (approximately) price could be for a ninety year lease extension. Comparative flats in Mold with a long lease were valued around £265,000. The average amount of ground rent was £50 invoiced every twelve months. The lease ended on 18 July 2099. Taking into account 73 years left we calculated the compensation to the landlord for the lease extension to be between £9,500 and £11,000 exclusive of costs.
<h5>Mold case:</h5>
<p> Mr and Mrs. A Evans owned a newly refurbished flat in Mold in August 1997. We are asked if we could shed any light on how much (approximately) premium would likely be to prolong the lease by 90 years. Similar properties in Mold with 100 year plus lease were in the region of £264,000. The mid-range ground rent payable was £60 invoiced per annum. The lease lapsed in 2079. Having 53 years left we calculated the compensation to the freeholder to extend the lease to be within £37,100 and £42,800 exclusive of fees.
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