Main reasons to start your Shirebrook lease extension

Why you should commence your Shirebrook lease extension today:

Increase your lease and increase your Shirebrook property value

Owning a apartment usually means owning a lease of the property, which has a finite term of years. The lease will normally be granted for a prescribed period of time , usually 99 or 125 years, although we have witnessed longer and shorter terms in Shirebrook. Clearly, the length of lease left shortens as time goes by. This is often ignored and only becomes a problem when the property needs to be sold or refinanced. The shorter the lease the less it is worth and the more it will cost to extend the lease. Eligible long lease owners in Shirebrook have the right to extend the lease for a further 90 years in accordance with the 1993 Leasehold Reform Act. Please give due consideration before putting off your Shirebrook lease extension. Holding off the cost now only increases the price you will ultimately incur for a lease extension

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

Leasehold premises in Shirebrook with in excess of one hundred years unexpired 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 situations there is often little upside in buying the freehold unless savings on ground rent and service charges warrant it.

Lenders may decide not to finance a property on a short lease

Most banks and building societies insist on a lengthy amount of time left on a leasehold residence before they will contemplate lending on it. Regardless of whether you require a mortgage, you should bear in mind that it is reasonable to assume that someone wishing to buy your property in the future might well do, so if they can't get a mortgage, then the value of the property could be adversely impacted. In the last decade most banks and building societies have increased the required minimum lease length that they are prepared to lend on

Why use us for your lease extension in Shirebrook?

Regardless of whether you are a tenant or a freeholder in Shirebrook,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 experience and the close ties they enjoy with Shirebrook valuers.

Shirebrook Lease Extension Example Cases:

Matthew, Shirebrook, Derbyshire

Last year Matthew, came precariously close to the 80-year threshold with the lease on his two bedroom apartment in Shirebrook. In buying his home two decades ago, the lease term was of no relevance. As luck would have it, he recognised he would soon be paying way over the odds for Extending the lease. Matthew was able to extend his lease at the eleventh hour last August. Matthew and the landlord who owned the flat above in the end settled on sum of £5,000 . If he had missed the deadline, the price would have become more costly by at least £950.

Shirebrook case:

Mr R King bought a first floor apartment in Shirebrook in August 2000. The dilemma was if we could approximate the premium would likely be for a 90 year extension to my lease. Comparable homes in Shirebrook with 100 year plus lease were worth £166,800. The mid-range amount of ground rent was £50 invoiced monthly. The lease lapsed in 2076. Considering the 50 years remaining we estimated the compensation to the landlord to extend the lease to be between £32,300 and £37,400 exclusive of expenses.

Shirebrook case:

Mr and Mrs. U Bernard owned a first floor flat in Shirebrook in April 2001. The dilemma was if we could estimate the premium would be for a ninety year extension to my lease. Comparable residencies in Shirebrook with a long lease were valued about £280,000. The average ground rent payable was £45 billed monthly. The lease came to a finish in 2096. Considering the 70 years outstanding we calculated the compensation to the landlord to extend the lease to be within £12,400 and £14,200 not including legals.