It’s a harsh certainty that a Treuddyn residential lease is a wasting asset. As the lease term reduces so does the value of the property. The extent of this is taken for granted in the first few years due to the loss of value being disguised by increases in the Treuddyn property market.Once your lease gets to 85ish years, you need to start considering a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease slips under eighty years - otherwise a higher amount will be due. The majority of flat owners in Treuddyn will be able to extend under the legislation; however a conveyancer will be able to confirm whether you qualify for an extension. In some situations you may not qualify. There are also strict deadlines and procedures to be adhered to once the process has commenced and you will need to be guided by your conveyancing solicitor for the duration of the formalities.
Leasehold properties in Treuddyn with more than one hundred years unexpired on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such situations there is often little upside in purchasing the freehold unless savings on ground rent and estate charges justify it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Barclays plc | |
| National Westminster Bank | |
| Nationwide Building Society | |
| Royal Bank of Scotland |
Regardless of whether you are a tenant or a freeholder in Treuddyn,the lease extension lawyers that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Treuddyn valuers.
In recent months Gabriel, started to get near to the eighty-year mark with the lease on his leasehold flat in Treuddyn. Having bought his property 18 years previously, the unexpired term was of no relevance. Luckily, it dawned on him that he needed to take action soon on a lease extension. Gabriel was able to extend his lease just under the wire in March. Gabriel and the landlord in the end settled on sum of £5,500 . If the lease had dipped to less than eighty years, the amount would have escalated by at least £1,150.
Mr and Mrs. M García took over the lease of a one bedroom flat in Treuddyn in October 2005. We are asked if we could approximate the compensation to the landlord could be for a 90 year extension to my lease. Identical properties in Treuddyn with 100 year plus lease were worth £227,800. The mid-range amount of ground rent was £45 invoiced every twelve months. The lease concluded on 21 February 2091. Given that there were 65 years outstanding we approximated the compensation to the landlord for the lease extension to be within £13,300 and £15,400 exclusive of fees.
Last Autumn we were e-mailed by Mrs P Bell , who was assigned a lease of a purpose-built apartment in Treuddyn in November 2012. We are asked if we could estimate the compensation to the landlord would likely be for a 90 year extension to my lease. Comparable properties in Treuddyn with a long lease were worth £270,000. The average amount of ground rent was £55 invoiced per annum. The lease expired on 12 November 2102. Taking into account 76 years left we calculated the premium to the landlord to extend the lease to be within £9,500 and £11,000 exclusive of expenses.