Top reasons for Desborough lease extension

Why you should start your Desborough lease extension today:

Increase your lease and increase your Desborough property value

Desborough leases on residential properties are gradually diminishing in value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of the lease becomes more expensive. It is the case that most Desborough tenants have the right to extend their lease by an additional ninety years by virtue of the 1993 Leasehold Reform Act. If you are a leasehold owner in Desborough you should see if your lease has between seventy and 90 years remaining. There are compelling reasons why a Desborough leaseholder with a lease having around eighty years left should take action to ensure that a lease extension is actioned without delay

An extended lease is almost the same value as a freehold

Leasehold residencies in Desborough with over 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 home. In such circumstances there is often little upside in buying the reversionary interest unless savings on ground rent and estate charges merit it.

Mortgage lenders may not lend on a short lease

Most mortgage lenders insist on a lengthy amount of time left on a leasehold residence before they will consider it as adequate security. Even if you don't require a mortgage, you should be aware that it is reasonable to assume that someone wanting to purchase your property in the future might well do, so where they can't obtain a mortgage, then the financial worth of the property will likely suffer. In the last decade the majority of mortgage lenders have increased the required minimum lease length that they are prepared to accept

What makes us experts in Desborough lease extensions?

Irrespective of whether you are a tenant or a landlord in Desborough,the lease extension lawyers that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Desborough valuers.

Desborough Lease Extension Case Summaries:

Toby, Desborough, Northamptonshire

In recent months Toby, started to get near to the 80-year threshold with the lease on his first floor apartment in Desborough. In buying his property two decades ago, the unexpired term was of little significance. Luckily, he became aware that he needed to take action soon on a lease extension. Toby was able to extend his lease just under the wire in September. Toby and the landlord who owned the flat above eventually settled on sum of £6,000 . If the lease had gone below 80 years, the premium would have become more exhorbitant by at least £875.

Desborough case:

Last Autumn we were contacted by Mr C Alexander , who was assigned a lease of a basement apartment in Desborough in May 2001. The question was if we could estimate the premium would be for a 90 year lease extension. Comparable properties in Desborough with a long lease were valued around £174,200. The average ground rent payable was £55 invoiced quarterly. The lease finished in 2077. Taking into account 51 years outstanding we calculated the compensation to the landlord to extend the lease to be between £31,400 and £36,200 plus costs.

Desborough case:

Last Winter we were contacted by Dr L Bernard , who was assigned a lease of a one bedroom apartment in Desborough in June 1998. We are asked if we could estimate the compensation to the landlord could be for a 90 year extension to my lease. Comparable residencies in Desborough with an extended lease were valued around £285,000. The mid-range amount of ground rent was £45 collected monthly. The lease came to a finish in 2097. Taking into account 71 years remaining we calculated the premium to the landlord for the lease extension to be between £12,400 and £14,200 plus professional charges.