Owning a flat usually means owning a lease of the property, this is a ‘time-limited’ interest becoming shorter every day. This lease will usually be granted for a prescribed period of time , usually 99 or 125 years, although we have witnessed longer and shorter terms in Port Talbot. Clearly, the length of lease left shortens over time. This may slip by relatively unnoticed when the residence needs to be sold or re-mortgaged. The fewer the years remaining the lower the value of the property and the more expensive it will be to procure a lease extension. Eligible long lease owners in Port Talbot have the right to extend the lease for an additional 90 years in accordance with statute. Please give due deliberation before putting off your Port Talbot lease extension. Putting off that expense now only increases the price you will eventually have to pay for a lease extension
Leasehold residencies in Port Talbot with over one hundred years outstanding on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such situations there is often little to be gained by purchasing the freehold unless savings on ground rent and estate charges justify it.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Birmingham Midshires | |
| Halifax | |
| Skipton Building Society | |
| TSB |
Lease extensions in Port Talbot can be a difficult process. We recommend you procure professional help from a lawyer and surveyor with experience in this area.
We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have in-depth market knowledge procuring Port Talbot lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Last year Logan, came dangerously close to the 80-year mark with the lease on his leasehold apartment in Port Talbot. In buying his property two decades ago, the lease term was of minimal concern. As luck would have it, it dawned on him that he would imminently be paying an inflated amount for Extending the lease. Logan extended the lease at the eleventh hour last March. Logan and the freeholder via the managing agents subsequently agreed on an amount of £6,000 . If the lease had slipped lower than eighty years, the sum would have become more costly by a minimum £950.
Last Spring we were called by Ms M Stewart , who completed a garden apartment in Port Talbot in October 1999. The dilemma was if we could approximate the price would be to prolong the lease by a further 90 years. Identical flats in Port Talbot with a long lease were in the region of £205,000. The average amount of ground rent was £50 invoiced quarterly. The lease came to a finish on 23 January 2104. Having 78 years as a residual term we calculated the compensation to the landlord to extend the lease to be between £8,600 and £9,800 not including costs.
In 2012 we were approached by Mr U Lefebvre who, having owned a basement flat in Port Talbot in May 2008. The dilemma was if we could approximate the price would likely be for a 90 year lease extension. Similar premises in Port Talbot with an extended lease were in the region of £267,600. The average amount of ground rent was £65 collected annually. The lease lapsed in 2093. Given that there were 67 years left we estimated the compensation to the freeholder to extend the lease to be between £14,300 and £16,400 exclusive of fees.