Main reasons to start your Droitwich Spa lease extension

Why you should start your Droitwich Spa lease extension today:

A Droitwich Spa lease depreciates with the years remaining on the lease.

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

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

It is conventional wisdom that a residential leasehold with in excess of 100 years remaining is worth approximately the equivalent as a freehold. Where an additional 90 years added to all but the shortest lease, the residence will be worth the same as a freehold for many years ahead.

Banks and Building Societies may decide not to finance a property on a short lease

Most mortgage lenders have constrained their lending criteria in recent years and borrowers are finding it increasingly difficult to raise funding or re-mortgage against property with shorter lease terms, particularly under seventy years as they are deemed to be unacceptable for lending purposes.

Why use us for your lease extension in Droitwich Spa?

Lease extensions in Droitwich Spa can be a difficult process. We recommend you get professional help from a conveyancing solicitor and valuer well versed in the legislation and lease extension process.

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

Droitwich Spa Lease Extension Case Studies:

Theo, Droitwich Spa, Worcestershire,

Theo was the the leasehold proprietor of a 2 bedroom flat in Droitwich Spa on the market with a lease of fraction over fifty eight years left. Theo on an informal basis spoke with his landlord a well known Bristol-based freehold company for a lease extension. The freeholder indicated a willingness to grant an extension taking the lease to 125 years subject to a new rent at the outset set at £200 per annum and increase every 25 years thereafter. No ground rent would be payable on a lease extension were Theo to invoke his statutory right. Theo obtained expert legal guidance and was able to make a more informed judgement and deal with the matter and ending up with a market value flat.

Droitwich Spa case:

Mr and Mrs. M López purchased a studio apartment in Droitwich Spa in May 1998. The dilemma was if we could approximate the price would be to prolong the lease by 90 years. Comparable properties in Droitwich Spa with a long lease were valued around £256,600. The average amount of ground rent was £60 invoiced annually. The lease lapsed in 2078. Given that there were 52 years as a residual term we calculated the compensation to the freeholder to extend the lease to be between £39,000 and £45,000 plus costs.

Droitwich Spa case:

Last Summer we were contacted by Mr and Mrs. I Vincent , who moved into a garden flat in Droitwich Spa in November 2003. The dilemma was if we could shed any light on how much (roughly) compensation to the landlord could be to extend the lease by 90 years. Similar premises in Droitwich Spa with 100 year plus lease were in the region of £218,000. The mid-range ground rent payable was £45 invoiced yearly. The lease expired on 20 July 2089. Considering the 63 years outstanding we estimated the premium to the landlord for the lease extension to be between £17,100 and £19,800 not including costs.