Chances are that if you own a flat in Colwyn Bay you actually own a long leasehold interest over your property
Leasehold residencies in Colwyn Bay with in excess of 100 years unexpired on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little upside in buying the freehold unless savings on ground rent and estate charges merit it.
| Lender | Requirement |
|---|---|
| Barclays plc | |
| Coventry Building Society | |
| Santander | |
| The Mortgage Works | |
| Yorkshire Building Society |
Using our service gives you increased control over the value of your Colwyn Bay leasehold, as your property will be more valuable and saleable in relation to the lease length should you want 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.
Jason was the the leasehold proprietor of a 2 bedroom apartment in Colwyn Bay on the market with a lease of a few days over 72 years remaining. Jason informally spoke with his freeholder a well known London-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to grant an extension taking the lease to 125 years on the basis of an increased rent to £125 annually. Ordinarily, ground rent would not be due on a lease extension were Jason to invoke his statutory right. Jason procured expert advice and secured an acceptable deal without going to tribunal and readily saleable.
Last Autumn we were called by Mr and Mrs. A Jackson , who acquired a purpose-built apartment in Colwyn Bay in June 2003. The dilemma was if we could shed any light on how much (roughly) price could be for a ninety year extension to my lease. Comparative flats in Colwyn Bay with a long lease were valued around £285,000. The average amount of ground rent was £45 invoiced yearly. The lease termination date was in 2098. Having 72 years as a residual term we calculated the compensation to the landlord to extend the lease to be within £12,400 and £14,200 not including legals.
Last year we were e-mailed by Mrs L Moore , who moved into a garden apartment in Colwyn Bay in November 2011. The dilemma was if we could estimate the price could be for a 90 year lease extension. Similar residencies in Colwyn Bay with 100 year plus lease were in the region of £233,200. The mid-range amount of ground rent was £60 collected quarterly. The lease ran out on 20 October 2087. Taking into account 61 years unexpired we calculated the compensation to the landlord to extend the lease to be between £22,800 and £26,400 exclusive of fees.