Pontypridd leases on residential properties are gradually losing value. Where your lease has approximately ninety years unexpired, you should start thinking about a lease extension. Eighty years is a significant number: when the remaining term of a lease falls below this level then you begin incurring an additional element called marriage value. Flat owners in Pontypridd will usually be legally entitled to a lease extension; however a solicitor should be able confirm if you qualify. In some circumstances you may not qualify. There are also strict deadlines and steps to comply with once the process has commenced so it’s best to be guided by a conveyancing solicitor during the process.
It is generally accepted that a property with more than 100 years remaining is worth roughly the equivalent as a freehold. Where an additional ninety years added to all but the shortest lease, the property will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Barclays plc | |
| Barnsley Building Society | |
| Chelsea Building Society | |
| Skipton Building Society | |
| Virgin |
The conveyancers that we work with undertake Pontypridd 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.
Kian owned a 2 bedroom apartment in Pontypridd on the market with a lease of a little over 72 years unexpired. Kian informally approached his freeholder a well known local-based freehold company for a lease extension. The landlord was prepared to grant an extension on non-statutory terms taking the lease to 125 years subject to a new rent to start with set at £100 per annum and doubled every twenty five years thereafter. Ordinarily, ground rent would not be payable on a lease extension were Kian to exercise his statutory right. Kian obtained expert legal guidance and secured satisfactory resolution informally and sell the flat.
Last Summer we were phoned by Ms Sian Young , who was assigned a lease of a studio apartment in Pontypridd in June 2002. The question was if we could approximate the premium could be to prolong the lease by 90 years. Identical premises in Pontypridd with an extended lease were valued about £208,600. The mid-range ground rent payable was £60 billed monthly. The lease expired on 8 June 2083. Taking into account 57 years unexpired we approximated the premium to the landlord to extend the lease to be within £30,400 and £35,200 not including fees.
Mr Milo Anderson moved into a ground floor apartment in Pontypridd in March 2007. The question was if we could estimate the compensation to the landlord would be to prolong the lease by an additional years. Comparative flats in Pontypridd with a long lease were valued around £200,000. The mid-range amount of ground rent was £50 invoiced annually. The lease ended on 1 November 2103. Considering the 77 years outstanding we approximated the compensation to the landlord for the lease extension to be between £8,600 and £9,800 plus legals.