Why you should start your Princes Risborough lease extension

Why you should commence your Princes Risborough lease extension today:

A Princes Risborough leasehold property depreciates with the years remaining on the lease.

The market value of Princes Risborough 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 materialy once the remaining term is less than eighty years

Princes Risborough property with a lease extension has roughly the same value as a freehold

It is conventional wisdom that a property with more than one hundred years unexpired lease term is worth roughly the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the premises will be equivalent in value to a freehold for many years ahead.

Banks and Building Societies may not issue a mortgage on a short lease

Whether or not the lease is be regarded as a short lease varies by mortgage company, yet banks and building societies start to get nervous at around 75 years. This may be problematic when you wish to sell or remortgage your flat as it will be practically unmortgageable. You may have no immediate plan to sell but when you do your buyer must wait two years before they can exercise the right to a an extension to the lease.

What makes us experts in Princes Risborough lease extensions?

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

Princes Risborough Lease Extension Case Summaries:

Ollie, Princes Risborough, Buckinghamshire

Last year Ollie, came very close to the 80-year mark with the lease on his ground floor apartment in Princes Risborough. In buying his property two decades ago, the lease term was of no importance. Fortunately, he realised he needed to take steps soon on Extending the lease. Ollie extended the lease at the eleventh hour in September. Ollie and the landlord who owned the flat above in the end settled on sum of £5,000 . If he failed to meet the deadline, the amount would have escalated by at least £1,025.

Princes Risborough case:

Mr and Mrs. E Dupont bought a one bedroom flat in Princes Risborough in January 2005. The dilemma was if we could estimate the compensation to the landlord would be to prolong the lease by ninety years. Comparable properties in Princes Risborough with 100 year plus lease were worth £270,000. The mid-range ground rent payable was £55 billed every twelve months. The lease elapsed on 21 February 2102. Considering the 76 years unexpired we estimated the premium to the landlord for the lease extension to be between £9,500 and £11,000 exclusive of costs.

Princes Risborough case:

Last year we were contacted by Mr Caleb Baker , who moved into a recently refurbished flat in Princes Risborough in June 2010. The dilemma was if we could approximate the compensation to the landlord could be to extend the lease by ninety years. Comparative homes in Princes Risborough with an extended lease were in the region of £176,200. The mid-range amount of ground rent was £65 billed monthly. The lease ran out on 23 April 2082. Taking into account 56 years unexpired we calculated the compensation to the landlord to extend the lease to be within £29,500 and £34,000 exclusive of costs.