As the length of the unexpired term of a Mold domestic lease diminished so does its value and therefore the value of your property. If the lease has, in excess of 125 years remaining then this decrease may be of little impact however there will become a point in time when a lease has fewer than eighty years unexpired as part of the premium you will incur is what is termed as a marriage value. This could increase sharply the cost. It is the main rational as to why you should extend the lease sooner rather than later. The majority of flat owners in Mold will meet the qualifying criteria; however a conveyancer can confirm if you qualify to extend your lease. In certain situations you may not qualify, the most frequent reason being that you have not been the owner of the property for two years.
It is conventional wisdom that a residential leasehold with over 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an further ninety years added to any lease with more than 35 years unexpired, the premises will be worth the same as a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Coventry Building Society | |
| Skipton Building Society | |
| The Mortgage Works | |
| Yorkshire Building Society |
The conveyancing solicitors that we work with procure Mold 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.
Caleb was the the leasehold proprietor of a 2 bedroom flat in Mold on the market with a lease of a little over 59 years outstanding. Caleb informally contacted his freeholder being a well known London-based freehold company for a lease extension. The freeholder was prepared to agree an extension on non-statutory terms taking the lease to 125 years on the basis of an increased rent to £200 yearly. Ordinarily, ground rent would not be due on a lease extension were Caleb to exercise his statutory right. Caleb procured expert legal guidance and was able to make a more informed decision and deal with the matter and readily saleable.
Mr P James owned a purpose-built flat in Mold in March 2011. The question was if we could shed any light on how much (roughly) price would be for a 90 year lease extension. Comparable properties in Mold with an extended lease were in the region of £270,000. The mid-range amount of ground rent was £55 invoiced per annum. The lease end date was on 27 February 2101. Given that there were 75 years remaining we estimated the premium to the freeholder for the lease extension to be within £9,500 and £11,000 plus fees.
Mr Nathaniel Alexander acquired a one bedroom apartment in Mold in February 2007. The dilemma was if we could approximate the compensation to the landlord would likely be for a 90 year extension to my lease. Comparative homes in Mold with 100 year plus lease were valued about £173,800. The average ground rent payable was £60 collected annually. The lease ran out in 2081. Taking into account 55 years unexpired we approximated the premium to the freeholder for the lease extension to be between £31,400 and £36,200 exclusive of expenses.