Top reasons for Tremeirchion lease extension
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Why you should start your Tremeirchion lease extension today: </h3>
<h4> A <a href="http://www.lendermonitor.com/conveyancing/loc/tremeirchion">Tremeirchion</a> leasehold property depreciates with the years remaining on the lease.
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Tremeirchion 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 the lease becomes more expensive. Most owners of residential leasehold property in Tremeirchion enjoy rights under legislation to extend the terms of their leases. Where you are a leasehold owner in Tremeirchion you should investigate if your lease has between seventy and ninety years left. In particular once the remaining lease term slips under 80 years, the premium due on any lease extension sharply increases as an element of the premium you will incur is what is known as a marriage value <h4>An extended lease has roughly the same value as a freehold</h4>
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Leasehold properties in Tremeirchion with in excess of 100 years remaining on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and service charges justify it. <h4>Banks and Building Societies may not lend with a short lease</h4> Whether or not the lease is be regarded as a short lease depends on the specific mortgage company, yet banks and building societies start to become nervous at around 75 years. This may be problematic once you come to sell or remortgage your property as it will be effectively unmortgageable. Even though you may have no imminent intention to sell but when you do your purchaser must wait two years before being able to initiate the legal procedures for an extension to the lease.
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<th> Requirement
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<td>Barnsley Building Society</td>
<td> 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term.
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<td>Birmingham Midshires</td>
<td> Minimum 70 years from the date of the mortgage.
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<td>Chelsea Building Society</td>
<td> 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower.
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<td>Godiva Mortgages</td>
<td> A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion.
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<td>Skipton Building Society</td>
<td> 85 years from the date of completion of the mortgage<br /><br />For Buy to Let cases:<br />- lettings must not breach any of the lessee’s covenants; and<br />- consent of the lessor to lettings must be obtained if necessary
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Why use us for your lease extension in Tremeirchion? </h4>
<p> Engaging our service will provide you enhanced control over the value of your Tremeirchion leasehold, as your property will be more valuable and marketable in relation to the lease length should you wish to sell.
The conveyancing solicitors that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions. <h4>
Tremeirchion Lease Extension Case Summaries:
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<h5> Elizabeth, Tremeirchion, Denbighshire,</h5>
<p> After unsuccessful discussions with the freeholder of her leasehold apartment in Tremeirchion, Elizabeth started the lease extension process as the eighty year deadline was quickly nearing. The legal work was concluded in November 2011. The landlord’s costs were kept to an absolute minimum.
<h5>Tremeirchion case:</h5>
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Last year we were contacted by Dr Jake López , who
moved into a recently refurbished apartment in Tremeirchion in June 2012. The question was if we could approximate the premium could be for a 90 year extension to my lease. Similar properties in Tremeirchion with 100 year plus lease were worth £218,000. The mid-range ground rent payable was £45 invoiced yearly. The lease ran out on 9 August 2089. Considering the 63 years remaining we calculated the compensation to the freeholder to extend the lease to be within £17,100 and £19,800 plus fees.
<h5>Tremeirchion case:</h5>
<p> Mr and Mrs. B Gray took over the lease of a garden flat in Tremeirchion in September 2006. We are asked if we could shed any light on how much (roughly) compensation to the landlord would be to prolong the lease by a further 90 years. Similar premises in Tremeirchion with a long lease were worth £265,000. The average ground rent payable was £50 billed annually. The lease terminated in 2100. Having 74 years remaining we approximated the compensation to the freeholder to extend the lease to be between £9,500 and £11,000 exclusive of expenses.
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