Main reasons to commence your Derby lease extension

Why you should start your Derby lease extension today:

Increase your lease and increase your Derby property value

Chances are that if you own a flat in Derby you actually own a long leasehold interest over your property

Derby property with a lease extension is almost the same value as a freehold

It is generally accepted that a residential leasehold with more than 100 years unexpired lease term is worth roughly the same as a freehold. Where an additional 90 years added to all but the shortest lease, the premises will be worth the same as a freehold for decades to come.

Mortgage lenders will not issue a mortgage on a short lease

Mortgage lenders have specific criteria when loaning monies secured on leasehold homes. Many will simply refrain from lending at all once an unexpired lease term drops lower than a certain unexpired lease term. Many Mortgage lenders will not regard property with an unexpired term of less than 75 years as adequate security. As well as impacting your ability to sell, it is also relevant if you are intending to refinance your Derby property.

What makes us experts in Derby lease extensions?

Using our service gives you enhanced control over the value of your Derby leasehold, as your property will be more valuable and marketable in respect of lease length should you decide to sell. The lawyers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.

Derby Lease Extension Example Cases:

Alfie, Derby, Derbyshire

During the course of the last few months Alfie, started to get near to the eighty-year threshold with the lease on his garden flat in Derby. In buying his flat twenty years previously, the lease term was of no importance. As luck would have it, he realised he would soon be paying an inflated amount for a lease extension. Alfie extended the lease just ahead of time last May. Alfie and the landlord who owned the flat above eventually settled on sum of £5,000 . If he not met the deadline, the sum would have become more exhorbitant by at least £900.

Derby case:

Dr Tyler González bought a recently refurbished flat in Derby in July 2007. The dilemma was if we could estimate the premium could be to extend the lease by a further 90 years. Similar premises in Derby with a long lease were valued about £250,000. The average amount of ground rent was £50 billed yearly. The lease came to a finish on 16 November 2094. Considering the 68 years remaining we calculated the premium to the landlord for the lease extension to be between £9,500 and £11,000 exclusive of expenses.

Derby case:

In 2013 we were phoned by Mr V Moreau who, having completed a ground floor apartment in Derby in March 1996. The dilemma was if we could approximate the compensation to the landlord could be to extend the lease by an additional years. Similar homes in Derby with an extended lease were in the region of £285,000. The average ground rent payable was £55 collected every twelve months. The lease terminated in 2105. Taking into account 79 years unexpired we estimated the compensation to the freeholder to extend the lease to be within £13,300 and £15,400 not including expenses.