Why you should commence your Rudry lease extension

Main reasons to start your Rudry lease extension today:

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

Rudry leases on residential properties are gradually losing value. Where your lease has about ninety years left, you should start considering the need for a lease extension. An important point to note is that it is financially advisable for your lease extension to be in place before the term of the existing lease drops below eighty years - otherwise a higher premium will be due. Flat owners in Rudry will mostly qualify for a lease extension; however a solicitor should be able confirm if you qualify. In certain situations you may not qualify. There are prescribed deadlines and steps to follow once the process has commenced so it’s wise to be guided by a conveyancing solicitor during the process.

Rudry property with a lease extension has roughly the same value as a freehold

Leasehold premises in Rudry with more than 100 years unexpired on the lease are often 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 reversionary interest unless savings on ground rent and service charges warrant it.

Lending institutions may decide not to issue a mortgage with a short lease

Many mortgage lenders require a lengthy amount of time left on any leasehold residence before they will consider it as adequate security. Regardless of whether you require a mortgage, you should be aware that it is reasonable to assume that someone wanting to purchase your property in the future might well do, so in the event that they can't secure a mortgage, then the market price of the property will likely be adversely impacted. Since 2008 many banks and building societies have increased the required minimum lease length that they are willing to accept

Why use us for your lease extension in Rudry?

The lawyers that we work with procure Rudry 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.

Rudry Lease Extension Example Cases:

Mollie, Rudry, Caerphilly,

After unsuccessful correspondence with the freeholder of her leasehold flat in Rudry, Mollie commenced the lease extension process just as her lease was approaching the crucial eighty-year threshold. The lease extension was concluded in August 2013. The landlord’s charges were negotiated to below 450 pounds.

Rudry case:

Dr Anna Brown acquired a one bedroom flat in Rudry in October 1997. We are asked if we could approximate the compensation to the landlord would be to prolong the lease by ninety years. Identical homes in Rudry with 100 year plus lease were worth £240,600. The mid-range ground rent payable was £60 collected per annum. The lease terminated in 2088. Considering the 62 years left we calculated the premium to the freeholder for the lease extension to be within £21,900 and £25,200 plus legals.

Rudry case:

Mr Milo Parker completed a one bedroom apartment in Rudry in March 2012. The dilemma was if we could estimate the compensation to the landlord would likely be to prolong the lease by 90 years. Comparable premises in Rudry with an extended lease were in the region of £174,200. The mid-range amount of ground rent was £55 invoiced per annum. The lease elapsed in 2077. Given that there were 51 years remaining we estimated the compensation to the landlord to extend the lease to be between £31,400 and £36,200 exclusive of costs.