Top reasons for Tredegar lease extension

Top reasons for lease extension now:

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

On the balance of probabilities if you own a flat in Tredegar you actually own a long leasehold interest over your property

An extended lease has roughly the same value as a freehold

Leasehold premises in Tredegar with more than one hundred years remaining on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such situations there is often little to be gained by purchasing the freehold unless savings on ground rent and estate charges merit it.

Lenders may not grant a mortgage on a short lease

Nearly all banks and building societies require a lengthy amount of time remaining on any leasehold property before they will contemplate lending on it. Even if you don't need a mortgage, you should keep in mind that it is reasonable to assume that someone wishing to acquire your property in the future might well do, so where they can't secure a mortgage, then the financial worth of the property will likely be adversely impacted. Since 2008 many mortgage lenders have increased the required minimum lease length that they are prepared to lend on

What makes us experts in Tredegar lease extensions?

Regardless of whether you are a tenant or a landlord in Tredegar,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 Tredegar valuers.

Tredegar Lease Extension Case Studies:

Harry, Tredegar, Abertillery,

Harry was the the leasehold owner of a 2 bedroom apartment in Tredegar being marketed with a lease of a few days over 61 years outstanding. Harry on an informal basis spoke with his freeholder being a well known London-based freehold company for a lease extension. The landlord was keen to agree an extension on non-statutory terms taking the lease to 125 years subject to a new rent initially set at £100 per annum and doubled every twenty five years thereafter. Ordinarily, ground rent would not be due on a lease extension were Harry to exercise his statutory right. Harry obtained expert advice and secured an acceptable resolution informally and ending up with a market value flat.

Tredegar case:

Last Spring we were called by Mrs G González , who took over the lease of a first floor flat in Tredegar in February 2002. The question was if we could approximate the compensation to the landlord could be to extend the lease by ninety years. Similar homes in Tredegar with a long lease were worth £290,000. The mid-range amount of ground rent was £45 invoiced every twelve months. The lease termination date was on 7 September 2098. Taking into account 72 years unexpired we calculated the premium to the freeholder for the lease extension to be between £12,400 and £14,200 not including legals.

Tredegar case:

Mr and Mrs. F Morgan completed a newly refurbished flat in Tredegar in September 2012. We are asked if we could approximate the premium would likely be for a ninety year extension to my lease. Comparable homes in Tredegar with an extended lease were worth £233,200. The mid-range amount of ground rent was £60 billed monthly. The lease finished on 9 March 2087. Considering the 61 years remaining we estimated the compensation to the freeholder to extend the lease to be between £22,800 and £26,400 not including expenses.