Main reasons to start your Borrowash lease extension

Why you should start your Borrowash lease extension today:

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

The rule of thumb is, all other things holding equal, the shorter the lease the more costly the premium. Qualifying leaseholders in Borrowash have the right to extend the lease for an additional ninety years in accordance with statute. Please think carefully before delaying your Borrowash lease extension. Shelving that expense now simply increases the premium you will ultimately be required to pay for a lease extension.

An extended lease is almost the same value as a freehold

Leasehold properties in Borrowash with in excess of 100 years outstanding on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such circumstances there is often little upside in purchasing the freehold unless savings on ground rent and estate charges warrant it.

Lending institutions may not loan monies with a short lease

Banks and building societies are really clamping down as regards to homes in Borrowash with short leases. For instance you might discover that their lending criteria are stricter and that they adjust interest rates depending on the unexpired lease term. Some may even refrain from lending completely, so if you needed to sell, your remaining options would be to find a cash buyer, or try your luck at auction thus reducing your market.

What makes us experts in Borrowash lease extensions?

Lease extensions in Borrowash can be a difficult process. We recommend you procure guidance from a conveyancer and valuer with experience in this area.

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 Borrowash lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Borrowash Lease Extension Case Summaries:

Finn, Borrowash, Derbyshire

Half a year ago Finn, came seriously near to the 80-year threshold with the lease on his studio flat in Borrowash. Having bought his property two decades ago, the lease term was of minimal bearing. As luck would have it, he recognised he needed to take steps soon on Extending the lease. Finn arranged for a lease extension just in the nick of time last April. Finn and the freeholder subsequently settled on sum of £6,000 . If the lease had fallen to less than 80 years, the premium would have increased by at least £925.

Borrowash case:

In 2010 we were e-mailed by Mrs Kate André who, having took over the lease of a first floor apartment in Borrowash in February 2004. We are asked if we could shed any light on how much (roughly) price would likely be for a 90 year lease extension. Comparable homes in Borrowash with an extended lease were valued around £275,000. The mid-range ground rent payable was £55 collected quarterly. The lease ended in 2102. Given that there were 76 years left we estimated the premium to the freeholder to extend the lease to be between £9,500 and £11,000 not including fees.

Borrowash case:

Dr C Díaz took over the lease of a one bedroom flat in Borrowash in June 2012. We are asked if we could estimate the compensation to the landlord would likely be to prolong the lease by a further 90 years. Comparable homes in Borrowash with an extended lease were worth £176,200. The mid-range amount of ground rent was £65 billed monthly. The lease concluded in 2082. Taking into account 56 years left we approximated the compensation to the freeholder for the lease extension to be between £29,500 and £34,000 plus professional charges.