Tredegar leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of your lease becomes more expensive. The majority of owners of residential leasehold property in Tredegar enjoy rights under legislation to extend the terms of their leases. Where you are a leasehold owner in Tredegar you really ought to investigate if your lease has between seventy and ninety years remaining. In particular once the remaining lease term slips under 80 years, the premium due on any lease extension increases dramatically as part of the premium you will incur is what is known as a marriage value
It is conventional wisdom that a property with over one hundred years remaining is worth approximately the same as a freehold. Where an further 90 years added to any lease with more than 35 years remaining, the residence will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Barclays plc | |
| Coventry Building Society | |
| The Mortgage Works | |
| Yorkshire Building Society |
The conveyancers that we work with procure Tredegar 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 lawyer we work with provide it.
Trailing protracted negotiations with the freeholder of her basement apartment in Tredegar, Amy commenced the lease extension process as the eighty year mark was rapidly coming. The lease extension was concluded in September 2010. The freeholder’s charges were restricted to a tad over 450 pounds.
Last Autumn we were approach by Mrs Phoebe Hall , who was assigned a lease of a ground floor flat in Tredegar in October 2011. The question was if we could approximate the premium would likely be to extend the lease by 90 years. Comparative flats in Tredegar with 100 year plus lease were valued around £206,200. The mid-range amount of ground rent was £55 collected monthly. The lease concluded in 2082. Taking into account 56 years left we estimated the premium to the landlord to extend the lease to be between £31,400 and £36,200 not including legals.
Last Summer we were called by Mr and Mrs. P Collins , who was assigned a lease of a purpose-built apartment in Tredegar in July 2009. We are asked if we could estimate the price would be for a ninety year extension to my lease. Identical flats in Tredegar with a long lease were in the region of £300,000. The average amount of ground rent was £50 billed annually. The lease lapsed on 12 August 2102. Having 76 years left we approximated the premium to the landlord to extend the lease to be between £8,600 and £9,800 not including professional charges.