Top reasons for Pencader lease extension

Main reasons to start your Pencader lease extension today:

Increase your lease and increase your Pencader property value

The re-sale value of a leasehold property in Pencader is impacted by how long the lease has left to run. If it is close to or less than eighty years you should envisage difficulties on re-sale, so it is recommended to arrange for the lease to be extended before buying. It is preferable to commence the lease extension process when the lease still has 82 years unexpired so that formalities can be finalised prior to the eighty year threshold. Current legislation entitles Pencader qualifying lessees to acquire a lease extension of 90 years in addition to the remaining length of the lease at a peppercorn rent (that is, rent free). The purpose of the valuation is to arrive at an opinion of the sum payable by the lessee to the freeholder for the acquisition of the lease extension.

An extended lease has roughly the same value as a freehold

Leasehold residencies in Pencader with over 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 property. In such circumstances there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and estate charges warrant it.

Lenders may decide not to loan monies with a short lease

Lending institutions have specific criteria when loaning funds charged on leasehold property. Many will simply not lend at all once the residual lease term slips below a specified unexpired lease term. Many Mortgage lenders will not consider property with a remaining term of less than seventy years as adequate security. In addition to this being important when selling, it is also relevant if you are seeking to refinance your Pencader home.

Why use us for your lease extension in Pencader?

The lawyers that we work with procure Pencader 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 lawyer we work with provide it.

Pencader Lease Extension Example Cases:

Dexter, Pencader, Ammanford

In 2014 Dexter, came very close to the eighty-year mark with the lease on his leasehold apartment in Pencader. Having purchased his property 18 years ago, the lease term was of no relevance. Luckily, he realised he needed to take steps soon on a lease extension. Dexter arranged for a lease extension just ahead of time in April. Dexter and the landlord eventually agreed on the final figure of £6,000 . If he failed to meet the deadline, the price would have become more costly by at least £925.

Pencader case:

Mr Y Campbell bought a recently refurbished apartment in Pencader in February 1996. The question was if we could shed any light on how much (approximately) compensation to the landlord would be for a 90 year lease extension. Comparable homes in Pencader with an extended lease were in the region of £210,600. The mid-range ground rent payable was £45 collected quarterly. The lease ended in 2088. Considering the 62 years as a residual term we approximated the compensation to the landlord to extend the lease to be within £18,100 and £20,800 exclusive of legals.

Pencader case:

Last November we were approach by Mr Harvey Dupont , who owned a garden flat in Pencader in January 2000. The question was if we could approximate the premium would likely be for a ninety year lease extension. Similar homes in Pencader with 100 year plus lease were worth £265,000. The mid-range amount of ground rent was £50 billed monthly. The lease expired on 12 November 2099. Having 73 years unexpired we estimated the premium to the landlord to extend the lease to be within £9,500 and £11,000 plus legals.