Pencader leases on residential properties are gradually losing value. if your lease has in the region of 90 years unexpired, you should start thinking about a lease extension. It is important to recognise that it is that it is financially advisable for the lease extension to be in place before the term of the existing lease dips under 80 years - otherwise a higher amount will be due. Leasehold owners in Pencader will usually be legally entitled to a lease extension; however it’s a good idea to check with a conveyancing solicitor to confirm if you qualify. In certain circumstances you may not be entitled. There are also strict timetables and steps to comply with once the process is triggered so it’s prudent to be guided by a conveyancing solicitor during the process.
Leasehold residencies in Pencader with over 100 years unexpired on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth 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 service charges warrant it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Godiva Mortgages | |
| National Westminster Bank | |
| Skipton Building Society | |
| TSB |
Regardless of whether you are a tenant or a freeholder in Pencader,the lease extension experts that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Pencader valuers.
Riley was the the leasehold owner of a conversion flat in Pencader on the market with a lease of a little over 72 years left. Riley on an informal basis approached his landlord a well known Bristol-based freehold company and enquired on a premium to extend the lease. The freeholder was keen to agree an extension on non-statutory terms taking the lease to 125 years subject to a rise in the rent to £125 yearly. Ordinarily, ground rent would not be due on a lease extension were Riley to exercise his statutory right. Riley obtained expert advice and was able to make an informed judgement and handle with the matter and sell the property.
Dr D Wilson acquired a basement flat in Pencader in March 2005. We are asked if we could shed any light on how much (roughly) premium would be to extend the lease by 90 years. Comparable premises in Pencader with 100 year plus lease were in the region of £280,000. The average ground rent payable was £55 billed every twelve months. The lease concluded in 2104. Having 78 years unexpired we estimated the compensation to the landlord for the lease extension to be between £13,300 and £15,400 plus professional charges.
Dr Logan Michel was assigned a lease of a studio flat in Pencader in June 2003. We are asked if we could approximate the compensation to the landlord would likely be for a ninety year extension to my lease. Similar residencies in Pencader with a long lease were in the region of £191,000. The average amount of ground rent was £65 collected per annum. The lease came to a finish on 22 March 2084. Given that there were 58 years unexpired we estimated the compensation to the freeholder to extend the lease to be within £23,800 and £27,400 not including legals.