Why you should start your Ystalyfera lease extension

Why you should start your Ystalyfera lease extension today:

Increase your lease and increase your Ystalyfera property value

The market value of a leasehold property in Ystalyfera depends on how many years the lease has remaining. If it is close to or fewer than 80 years you should expect difficulties on re-sale, so it is advisable to arrange for the lease to be extended prior to buying. Ideally one should start the lease extension process when the lease still has 82 years remaining so that formalities can be finalised prior to the eighty year threshold. Current legislation entitles Ystalyfera qualifying lessees to an additional term of 90 years on top of the existing term, at a notional rent (no ground rent). The intention of the valuation is to arrive at an opinion of the premium payable by the lessee to the freeholder for the purchase of the lease extension.

An extended lease has roughly the same value as a freehold

It is generally considered that a residential leasehold with in excess of 100 years remaining is worth approximately the same as a freehold. Where an additional 90 years added to all but the shortest lease, the residence will be equivalent in value to a freehold for many years ahead.

Lenders will not issue a mortgage on a short lease

Most banks and building societies will not lend on a lease with less than seventy years left to run - although this varies from lender to lender. A purchaser will undoubtedly encounter difficulties in obtaining a mortgage and this could result in your Ystalyfera property becoming difficult to dispose of or to obtain finance on.

Why use us for your lease extension in Ystalyfera?

Engaging our service gives you increased control over the value of your Ystalyfera leasehold, as your property will be more valuable and marketable in terms of lease length should you decide to sell. The conveyancing solicitors that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.

Ystalyfera Lease Extension Example Cases:

Owen, Ystalyfera, Neath Port Talbot,

Owen owned a studio flat in Ystalyfera being sold with a lease of a few days over 59 years remaining. Owen informally approached his freeholder a well known local-based freehold company for a lease extension. The freeholder indicated a willingness to extend the lease to 125 years subject to an increased rent to £125 yearly. No ground rent would be payable on a lease extension were Owen to invoke his statutory right. Owen obtained expert advice and was able to make a more informed judgement and deal with the matter and ending up with a market value flat.

Ystalyfera case:

In 2011 we were e-mailed by Mr and Mrs. H Peterson who, having was assigned a lease of a purpose-built apartment in Ystalyfera in May 2002. The dilemma was if we could approximate the premium would likely be to extend the lease by an additional years. Similar premises in Ystalyfera with a long lease were valued about £285,000. The mid-range amount of ground rent was £55 billed yearly. The lease ended in 2106. Given that there were 80 years as a residual term we estimated the compensation to the landlord for the lease extension to be between £12,400 and £14,200 exclusive of expenses.

Ystalyfera case:

In 2014 we were e-mailed by Mr Kai Wilson who, having was assigned a lease of a one bedroom flat in Ystalyfera in September 2012. We are asked if we could shed any light on how much (approximately) compensation to the landlord would likely be for a ninety year lease extension. Similar residencies in Ystalyfera with a long lease were valued around £200,800. The mid-range amount of ground rent was £65 billed quarterly. The lease lapsed on 9 May 2086. Having 60 years remaining we estimated the compensation to the landlord for the lease extension to be between £20,900 and £24,200 not including fees.