Why you should commence your Splott lease extension

Main reasons to start your Splott lease extension today:

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

Splott leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of your lease becomes more expensive. Legislation has been in place for sometime now allowing qualifying Splott residential leaseholders to extend the terms of long leases. If you are a leasehold owner in Splott you must check if your lease has between seventy and 90 years remaining. In particular once the remaining lease term slips under 80 years, the premium due on any lease extension sharply increases as part of the premium you will incur is what is known as a marriage value

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

It is conventional wisdom that a property with in excess of 100 years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional 90 years added to any lease with more than 45 years remaining, the premises will be equivalent in value to a freehold for decades to come.

Mortgage lenders may decide not to grant a mortgage on a short lease

Most mortgage lenders have narrowed their lending criteria in the last ten years and borrowers are finding it increasingly difficult to raise finance or re-mortgage against flats with shorter lease terms, particularly below 75 years as they are regarded as deficient for lending purposes.

What makes us experts in Splott lease extensions?

Regardless of whether you are a tenant or a landlord in Splott,the lease extension experts that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Splott valuers.

Splott Lease Extension Example Cases:

Alicia, Splott, Cardiff,

Subsequent to unsuccessful correspondence with the freeholder of her leasehold flat in Splott, Alicia initiated the lease extension process just as the lease was approaching the all-important eighty-year deadline. The lease extension was finalised in January 2011. The landlord’s costs were negotiated to below 650 pounds.

Splott case:

Mr and Mrs. E Kelly moved into a garden flat in Splott in January 2006. We are asked if we could estimate the price would likely be for a 90 year lease extension. Comparative premises in Splott with an extended lease were worth £208,600. The mid-range amount of ground rent was £60 billed yearly. The lease finished on 10 January 2083. Taking into account 57 years remaining we estimated the compensation to the landlord to extend the lease to be within £30,400 and £35,200 not including costs.

Splott case:

Mr and Mrs. P Miller owned a first floor apartment in Splott in September 2005. The question was if we could shed any light on how much (approximately) price would likely be for a 90 year extension to my lease. Identical properties in Splott with a long lease were worth £200,000. The average ground rent payable was £50 billed per annum. The lease terminated on 7 October 2103. Taking into account 77 years remaining we approximated the premium to the freeholder to extend the lease to be within £8,600 and £9,800 exclusive of professional charges.