Top reasons for Daventry lease extension

Top reasons for lease extension now:

A Daventry lease depreciates with the years remaining on the lease.

The basic rule is, all other things holding equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Daventry may extend the lease for a further ninety years in accordance with Leasehold Reform legislation. Please think carefully before delaying your Daventry lease extension. Shelving the costs now simply increases the amount you will eventually be required to pay to extend the lease.

An extended lease has roughly the same value as a freehold

It is conventional wisdom that a residential leasehold with over one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an further ninety years added to any lease with more than 30 years unexpired, the property will be equivalent in value to a freehold for many years in the future.

Lending institutions may decide not to issue a mortgage with a short lease

Most banks and building societies insist on a lengthy amount of time remaining on a leasehold residence before they will contemplate providing a mortgage on it. Regardless of whether you need a mortgage, you should be conscious that it is probable that someone intending to purchase your property in the future might well do, so in the event that they are not able to obtain a mortgage, then the market price of the property will likely be adversely impacted. In the last decade many banks and building societies have increased the required minimum lease length that they are willing to lend on

Get in touch with one of our Daventry lease extension solicitors or enfranchisement solicitors

Regardless of whether you are a tenant or a freeholder in Daventry,the lease extension solicitors that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Daventry valuers.

Daventry Lease Extension Example Cases:

Finley, Daventry, Northamptonshire,

Finley was the the leasehold proprietor of a high value apartment in Daventry on the market with a lease of just over 72 years remaining. Finley on an informal basis approached his freeholder a well known London-based freehold company and enquired on a premium to extend the lease. The landlord was prepared to agree an extension on non-statutory terms taking the lease to 125 years subject to a new rent at the outset set at £100 per annum and doubled every twenty five years thereafter. Ordinarily, ground rent would not be payable on a lease extension were Finley to exercise his statutory right. Finley procured expert advice and was able to make a more informed judgement and handle with the matter and ending up with a market value flat.

Daventry case:

Last Spring we were approach by Mr and Mrs. V Alexander , who took over the lease of a ground floor flat in Daventry in July 2010. The dilemma was if we could shed any light on how much (roughly) premium would be for a 90 year extension to my lease. Comparable properties in Daventry with a long lease were worth £285,000. The mid-range ground rent payable was £55 invoiced quarterly. The lease ended on 16 September 2106. Taking into account 80 years outstanding we calculated the premium to the freeholder for the lease extension to be between £12,400 and £14,200 plus fees.

Daventry case:

Last Summer we were e-mailed by Dr P Gómez , who was assigned a lease of a ground floor apartment in Daventry in June 1997. The dilemma was if we could approximate the price could be to extend the lease by an additional years. Comparable residencies in Daventry with an extended lease were valued about £200,800. The average ground rent payable was £65 billed yearly. The lease came to a finish in 2086. Given that there were 60 years outstanding we estimated the premium to the freeholder for the lease extension to be between £20,900 and £24,200 exclusive of fees.