Penrhyndeudraeth leases on domestic deteriorating in value. Where your lease has in the region of ninety years left, you should start thinking about a lease extension. If lease term dips under 80 years, you will then have to pay 50% of the property's 'marriage value' on top of the usual cost of the lease extension to your landlord. Marriage value is the amount of additional value that a lease extension will add to the property. Leasehold owners in Penrhyndeudraeth will mostly qualify for a lease extension; however it’s a good idea to check with a conveyancing solicitor to check if you qualify. In certain situations you may not qualify. There are also strict deadlines and procedures to follow once the process is initiated so it’s sensible to be guided by a conveyancer during the process.
It is conventional wisdom that a property with in excess of 100 years remaining is worth roughly the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the residence will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Barclays plc | |
| Halifax | |
| Nationwide Building Society | |
| Skipton Building Society | |
| TSB |
Engaging our service will provide you enhanced control over the value of your Penrhyndeudraeth leasehold, as your property will be more valuable and saleable in respect of lease length should you wish to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.
In recent months Owen, came critically close to the 80-year threshold with the lease on his purpose- built apartment in Penrhyndeudraeth. Having bought his flat two decades ago, the length of the lease was of no bearing. Luckily, he noticed he would imminently be paying an escalated premium for Extending the lease. Owen extended the lease at the eleventh hour last March. Owen and the freeholder via the management company in the end agreed on the final figure of £5,500 . If he failed to meet the deadline, the sum would have gone up by a minimum £1,075.
Dr U Murphy acquired a one bedroom apartment in Penrhyndeudraeth in September 1999. The dilemma was if we could estimate the price would be to extend the lease by 90 years. Similar properties in Penrhyndeudraeth with an extended lease were worth £173,800. The average amount of ground rent was £65 invoiced every twelve months. The lease lapsed in 2081. Taking into account 55 years unexpired we approximated the premium to the landlord to extend the lease to be within £31,400 and £36,200 plus professional charges.
In 2013 we were contacted by Ms B Hill who, having moved into a purpose-built apartment in Penrhyndeudraeth in May 2012. We are asked if we could estimate the premium would likely be for a ninety year extension to my lease. Identical homes in Penrhyndeudraeth with a long lease were valued about £235,200. The mid-range ground rent payable was £45 collected per annum. The lease lapsed on 27 June 2092. Considering the 66 years left we calculated the premium to the landlord for the lease extension to be within £12,400 and £14,200 exclusive of expenses.