When it comes to long leasehold premises in Radyr, you are in fact renting it for a certain amount of time. In recent years flat leases are usually granted for 99 years or 125. Even though this may appear like a lengthy period of time, you should think about extending the lease sooner rather than later. Accepted thinking is that the shorter the number of years is the cost of extending the lease gets disproportionately greater notably when there are less than 80 years left. Residents in Radyr with a lease approaching 81 years remaining should seriously think of extending it sooner rather than later. Once a lease has less than 80 years remaining, under the relevant legislation the freeholder is entitled to calculate and levy a larger amount, based on a technical computation, strangely termed as “marriage value” which is due.
It is conventional wisdom that a property with over 100 years remaining is worth roughly the equivalent as a freehold. Where an additional 90 years added to all but the shortest lease, the property will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| Chelsea Building Society | 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Lease extensions in Radyr can be a difficult process. We recommend you get professional help from a lawyer and valuer with experience in lease extensions.
We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have a wealth of experience dealing with Radyr lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Off the back of protracted negotiations with the landlord of her garden flat in Radyr, Ella started the lease extension process as the 80 year threshold was quickly approaching. The legal work completed in July 2007. The freeholder’s charges were kept to an absolute minimum.
In 2014 we were phoned by Dr P Vincent who, having bought a ground floor flat in Radyr in March 1998. The dilemma was if we could shed any light on how much (roughly) price would likely be for a ninety year lease extension. Comparative homes in Radyr with a long lease were valued around £260,000. The average amount of ground rent was £50 collected per annum. The lease concluded on 11 October 2098. Considering the 73 years unexpired we calculated the premium to the landlord for the lease extension to be within £9,500 and £11,000 not including fees.
Last November we were called by Ms Ella Cook , who purchased a one bedroom flat in Radyr in July 2009. The question was if we could shed any light on how much (roughly) price could be for a 90 year lease extension. Similar premises in Radyr with a long lease were in the region of £264,000. The mid-range ground rent payable was £60 invoiced monthly. The lease ran out in 2078. Given that there were 53 years unexpired we calculated the premium to the freeholder for the lease extension to be within £37,100 and £42,800 exclusive of costs.