The only way is down when it comes to Colwyn Bay lease terms. Colwyn Bay properties that have a remaining term lower than 80 years will reduce in value even faster, and the cost of extending your lease will increase.
It is conventional wisdom that a property with in excess of 100 years unexpired lease term is worth approximately the same as a freehold. Where an additional 90 years added to all but the shortest lease, the premises will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| Coventry Building Society | 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Retaining our service will provide you better control over the value of your Colwyn Bay leasehold, as your property will be more valuable and marketable in respect of lease length should you wish 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.
Elijah owned a high value flat in Colwyn Bay on the market with a lease of a few days over 59 years unexpired. Elijah informally approached his landlord being a well known London-based freehold company for a lease extension. The landlord indicated a willingness to grant an extension taking the lease to 125 years on the basis of an increased rent to £100 per annum. No ground rent would be payable on a lease extension were Elijah to exercise his statutory right. Elijah obtained expert legal guidance and secured an acceptable resolution without going to tribunal and ending up with a market value flat.
In 2011 we were e-mailed by Ms H Rogers who, having purchased a garden flat in Colwyn Bay in September 1998. We are asked if we could estimate the premium could be to prolong the lease by an additional years. Identical premises in Colwyn Bay with 100 year plus lease were worth £166,800. The average ground rent payable was £50 invoiced yearly. The lease lapsed in 2075. Having 50 years left we calculated the premium to the landlord to extend the lease to be between £32,300 and £37,400 plus professional charges.
Mr and Mrs. I Lee completed a newly refurbished apartment in Colwyn Bay in February 2007. The question was if we could estimate the compensation to the landlord could be for a 90 year lease extension. Comparative flats in Colwyn Bay with 100 year plus lease were worth £280,000. The mid-range amount of ground rent was £45 collected every twelve months. The lease elapsed on 1 August 2095. Considering the 70 years outstanding we estimated the premium to the freeholder for the lease extension to be within £12,400 and £14,200 exclusive of costs.