Main reasons to start your Repton lease extension

Top reasons for lease extension now:

A Repton leasehold property depreciates with the years remaining on the lease.

The market value of Repton leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The expense of extending the lease can escalate significantly once the unexpired lease term is less than eighty years

An extended lease is almost the same value as a freehold

Leasehold residencies in Repton with in excess of one hundred years left on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such situations there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and estate charges merit it.

Banks and Building Societies may decide not to grant a mortgage on a short lease

Most banks and building societies will not lend on a lease with under 70 years remaining - although this varies from lender to lender. A purchaser will likely encounter difficulties in obtaining a mortgage and this will result in your Repton property becoming difficult to dispose of or refinance.

What makes us experts in Repton lease extensions?

The lawyers that we work with handle Repton 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 conveyancer we work with provide it.

Repton Lease Extension Case Studies:

Kirsty, Repton, Derbyshire,

Off the back of lengthy negotiations with the freeholder of her studio flat in Repton, Kirsty initiated the lease extension process as the 80 year mark was quickly coming. The transaction was finalised in January 2008. The freeholder’s costs were restricted to a tad over six hundred pounds.

Repton case:

In 2011 we were contacted by Mr and Mrs. G André who, having bought a one bedroom apartment in Repton in September 2007. The question was if we could shed any light on how much (roughly) price would likely be for a 90 year extension to my lease. Comparable flats in Repton with an extended lease were valued about £210,600. The mid-range amount of ground rent was £45 invoiced per annum. The lease ended on 22 August 2088. Taking into account 62 years unexpired we approximated the compensation to the freeholder to extend the lease to be between £18,100 and £20,800 plus costs.

Repton case:

Last Spring we were contacted by Dr L García , who bought a garden apartment in Repton in April 2003. The dilemma was if we could approximate the premium could be for a 90 year extension to my lease. Comparative flats in Repton with 100 year plus lease were valued around £265,000. The mid-range amount of ground rent was £50 invoiced yearly. The lease ran out in 2099. Taking into account 73 years unexpired we calculated the compensation to the freeholder to extend the lease to be within £9,500 and £11,000 not including expenses.