Top reasons for Splott lease extension

Top reasons for lease extension now:

Increase your lease and increase your Splott property value

Splott 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 Splott tenants have the right to extend their lease by an additional ninety years by virtue of the 1993 Leasehold Reform Act. If you are a leasehold owner in Splott you must investigate if your lease has between seventy and ninety years left. There are compelling reasons why a Splott flat owner with a lease having around 80 years unexpired should take steps to make sure that a lease extension is put in place without delay

An extended lease has roughly the same value as a freehold

It is generally considered that a residential leasehold with over one hundred years unexpired lease term is worth approximately the same as a freehold. Where an further 90 years added to any lease with more than 35 years unexpired, the residence will be equivalent in value to a freehold for many years ahead.

Banks and Building Societies may not grant a mortgage on a short lease

Banks and Building Societies have specific criteria when lending monies secured on leasehold property. Some will simply refrain from lending at all once the residual lease term goes under a certain unexpired lease term. Many Mortgage lenders will not regard property with an unexpired term of less than seventy years as adequate security. In addition to this being important when selling, it is also relevant where you are intending to refinance your Splott property.

What makes us experts in Splott lease extensions?

Retaining our service gives you increased control over the value of your Splott leasehold, as your property will be more valuable and saleable in relation to the lease length should you want to sell. The conveyancing solicitors that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.

Splott Lease Extension Example Cases:

Finley, Splott, Cardiff

Last October Finley, came dangerously close to the 80-year mark with the lease on his purpose- built flat in Splott. Having purchased his property twenty years previously, the unexpired term was of no bearing. As luck would have it, he noticed he needed to take action soon on a lease extension. Finley extended the lease just ahead of time in April. Finley and the landlord who owned the flat above ultimately agreed on a premium of £5,500 . If the lease had slid to less than eighty years, the figure would have escalated by at least £850.

Splott case:

Ms S White bought a studio flat in Splott in March 2008. We are asked if we could approximate the price would be for a 90 year lease extension. Identical homes in Splott with a long lease were in the region of £290,000. The average ground rent payable was £45 billed per annum. The lease end date was in 2099. Having 73 years unexpired we approximated the compensation to the freeholder for the lease extension to be within £9,500 and £11,000 plus professional charges.

Splott case:

In 2012 we were e-mailed by Ms C Howard who, having took over the lease of a basement flat in Splott in April 2009. We are asked if we could approximate the premium could be to prolong the lease by 90 years. Identical premises in Splott with a long lease were valued about £235,600. The mid-range ground rent payable was £60 collected annually. The lease expired in 2088. Considering the 62 years outstanding we approximated the compensation to the freeholder to extend the lease to be between £21,900 and £25,200 exclusive of costs.