Why you should commence your Mumbles lease extension

Why you should start your Mumbles lease extension today:

A Mumbles lease depreciates with the years remaining on the lease.

Chances are that if you own a flat in Mumbles you actually own a long leasehold interest over your property

An extended lease is almost the same value as a freehold

Leasehold properties in Mumbles with more than one hundred years remaining on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little to be gained by purchasing the freehold unless savings on ground rent and maintenance charges merit it.

Mortgage lenders may decide not to grant a mortgage with a short lease

Banks and building societies are really clamping down as regards to properties in Mumbles with short leases. For instance you might discover that their lending requirements are stricter and that they adjust interest rates depending on the unexpired lease term. Some may even refuse to lend completely, so where you wanted to sell, your remaining options would be to find a cash buyer, or hope for the best at auction thus restricting your market.

Get in touch with one of our Mumbles lease extension solicitors or enfranchisement solicitors

Engaging our service will provide you increased control over the value of your Mumbles leasehold, as your property will be more valuable and saleable in relation to the lease length should you want to sell. The lawyers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.

Mumbles Lease Extension Example Cases:

Teddy, Mumbles, Swansea,

Teddy was the the leasehold proprietor of a high value flat in Mumbles being sold with a lease of just over sixty years outstanding. Teddy informally contacted his landlord being a well known Manchester-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to extend the lease to 125 years on the basis of an increased rent to £100 per annum. No ground rent would be payable on a lease extension were Teddy to invoke his statutory right. Teddy procured expert legal guidance and was able to make an informed decision and deal with the matter and readily saleable.

Mumbles case:

In 2014 we were phoned by Dr A Roux who, having owned a garden flat in Mumbles in January 2011. The question was if we could approximate the price would likely be for a 90 year lease extension. Comparative residencies in Mumbles with an extended lease were worth £166,400. The average amount of ground rent was £60 collected per annum. The lease terminated in 2080. Having 54 years left we calculated the compensation to the freeholder for the lease extension to be between £32,300 and £37,400 plus expenses.

Mumbles case:

Mr and Mrs. H Thomas completed a garden flat in Mumbles in September 1999. The dilemma was if we could estimate the price would be to prolong the lease by a further 90 years. Similar homes in Mumbles with a long lease were in the region of £227,800. The mid-range ground rent payable was £45 collected yearly. The lease lapsed on 7 April 2091. Considering the 65 years outstanding we approximated the compensation to the freeholder to extend the lease to be between £13,300 and £15,400 plus expenses.