It’s a harsh truth that a St Clears residential lease is a wasting asset. The lease value drops in proportion to its lease length. The extent of this is taken for granted in the first few years due to the depreciation being disguised by increases in the St Clears property prices.Once your lease nears 85ish years, you need to start considering a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease falls below 80 years - otherwise a higher amount will be due. Most leasehold owners in St Clears will be able to extend under the legislation; however a conveyancing solicitor should be able to clarify if you qualify for an extension. In some situations you may not be entitled. There are also strict timeframes and procedures to be adhered to once the process is instigated and you will need to be guided by your lawyer for the duration of the process.
Leasehold residencies in St Clears with more than 100 years outstanding on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little upside in buying the freehold unless savings on ground rent and maintenance charges merit it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Bank of Scotland | |
| Godiva Mortgages | |
| Royal Bank of Scotland | |
| Yorkshire Building Society |
Lease extensions in St Clears can be a difficult process. We recommend you obtain guidance from a conveyancing solicitor and valuer well versed in the legislation and lease extension process.
We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have in-depth market knowledge dealing with St Clears lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
After protracted negotiations with the freeholder of her leasehold apartment in St Clears, Naomi started the lease extension process as the eighty year threshold was rapidly nearing. The transaction completed in March 2006. The landlord’s fees were negotiated to under 450 pounds.
Last year we were contacted by Mr Benjamin Carter , who owned a one bedroom flat in St Clears in January 1995. The dilemma was if we could shed any light on how much (roughly) premium would likely be for a 90 year extension to my lease. Comparable homes in St Clears with 100 year plus lease were in the region of £264,000. The mid-range amount of ground rent was £60 collected quarterly. The lease end date was on 19 July 2079. Having 53 years as a residual term we approximated the premium to the landlord for the lease extension to be between £37,100 and £42,800 not including fees.
Mrs Rachel Simon purchased a ground floor flat in St Clears in May 2009. The question was if we could estimate the price would likely be to prolong the lease by an additional years. Comparative flats in St Clears with a long lease were valued around £218,000. The mid-range ground rent payable was £45 invoiced quarterly. The lease termination date was on 16 May 2089. Having 63 years outstanding we approximated the compensation to the landlord for the lease extension to be between £17,100 and £19,800 exclusive of costs.