Why you should start your Roath lease extension

Top reasons for lease extension now:

A Roath leasehold property depreciates with the years remaining on the lease.

Chances are that where you own a flat in Roath you actually own a long leasehold interest over your property

An extended lease is almost the same value as a freehold

Leasehold properties in Roath with more than 100 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 home. In such circumstances there is often little to be gained by purchasing the freehold unless savings on ground rent and maintenance charges merit it.

Mortgage lenders will not issue a mortgage on a short lease

The definition of a short lease depends on the specific mortgage company, yet lending institutions start to get jittery at around 75 years. This may be problematic as and when you wish to dispose of or remortgage your property as it will be practically unmortgageable. Even though you may not have an imminent intention to sell but when you do your buyer will have to wait two years before being able to initiate the legal procedures for an extension to the lease.

Get in touch with one of our Roath lease extension solicitors or enfranchisement solicitors

The conveyancers that we work with handle Roath 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.

Roath Lease Extension Case Summaries:

Tia, Roath, Cardiff,

Off the back of protracted correspondence with the freeholder of her purpose-built flat in Roath, Tia started the lease extension process as the eighty year mark was fast coming. The legal work completed in November 2013. The freeholder’s charges were restricted to slightly above 500 pounds.

Roath case:

Last Winter we were phoned by Dr Eli Turner , who completed a recently refurbished apartment in Roath in June 2012. The question was if we could approximate the premium could be to extend the lease by an additional years. Similar flats in Roath with an extended lease were in the region of £295,000. The mid-range ground rent payable was £45 billed per annum. The lease expiry date was on 10 May 2100. Having 74 years remaining we estimated the compensation to the freeholder for the lease extension to be within £8,600 and £9,800 not including professional charges.

Roath case:

Mr and Mrs. D García completed a one bedroom flat in Roath in April 2011. We are asked if we could estimate the compensation to the landlord could be for a 90 year lease extension. Similar residencies in Roath with a long lease were valued around £243,000. The average ground rent payable was £65 billed quarterly. The lease expired in 2089. Having 63 years left we approximated the premium to the freeholder to extend the lease to be within £20,000 and £23,000 plus expenses.