Main reasons to commence your Rhuddlan lease extension

Top reasons for lease extension now:

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

Rhuddlan leases on residential properties are gradually decreasing in value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of your lease gets more expensive. It is the case that most Rhuddlan tenants have the right to extend their lease by an additional ninety years under the 1993 Leasehold Reform Act. If you are a leasehold owner in Rhuddlan you would be well advised to see if your lease has between seventy and ninety years left. In particular once the remaining lease term slips under 80 years, the premium due on any lease extension increases dramatically as part of the premium you will incur is what is known as a marriage value

An extended lease is almost the same value as a freehold

It is generally considered that a residential leasehold with in excess of 100 years unexpired lease term is worth approximately the same as a freehold. Where an additional ninety years added to any lease with more than 30 years remaining, the residence will be worth the same as a freehold for decades to come.

Lending institutions may decide not to loan monies with a short lease

Most high street banks are tightening their criteria and many now want flats to have at least 60 if not 70 years remaining at the end of the mortgage. Considering many flats in Rhuddlan were built in the 1950s, 1960s and 1970s this means many now require lease extensions if they wish to obtain a mortgage.

Why use us for your lease extension in Rhuddlan?

The conveyancers that we work with procure Rhuddlan 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 conveyancing solicitor we work with provide it.

Rhuddlan Lease Extension Case Studies:

Lewis, Rhuddlan, Denbighshire

Two years ago Lewis, started to get close to the 80-year threshold with the lease on his purpose- built apartment in Rhuddlan. Having purchased his home 19 years ago, the length of the lease was of little importance. Thankfully, he noticed he needed to take steps soon on Extending the lease. Lewis was able to extend his lease just ahead of time in April. Lewis and the landlord subsequently agreed on the final figure of £6,000 . If he not met the deadline, the sum would have increased by a minimum £1,150.

Rhuddlan case:

Dr D Mercier purchased a one bedroom apartment in Rhuddlan in June 2006. The dilemma was if we could approximate the premium would be for a 90 year extension to my lease. Comparable homes in Rhuddlan with an extended lease were in the region of £184,000. The average ground rent payable was £55 billed yearly. The lease finished on 23 November 2079. Considering the 53 years remaining we estimated the compensation to the landlord to extend the lease to be between £28,500 and £33,000 plus expenses.

Rhuddlan case:

Dr F Lewis took over the lease of a recently refurbished flat in Rhuddlan in June 2002. The question was if we could estimate the premium could be for a ninety year extension to my lease. Comparable residencies in Rhuddlan with a long lease were in the region of £290,000. The average amount of ground rent was £45 billed yearly. The lease expired on 15 October 2099. Taking into account 73 years outstanding we approximated the compensation to the freeholder for the lease extension to be between £9,500 and £11,000 exclusive of legals.