Why you should commence your Denham lease extension

Why you should start your Denham lease extension today:

A Denham leasehold property depreciates with the years remaining on the lease.

Denham leases on residential properties are gradually diminishing in value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of your lease becomes more expensive. The majority of owners of residential leasehold property in Denham enjoy rights under legislation to extend the terms of their leases. If you are a leasehold owner in Denham you would be well advised to investigate if your lease has between seventy and ninety years left. In particular once the remaining lease term slips under eighty years, the compensation to the landlord for any lease extension increases dramatically as an element of the premium you pay is what is known as a marriage value

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

Leasehold residencies in Denham with more than one hundred years remaining on the lease are often regarded as a ‘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 to be gained by buying the reversionary interest unless savings on ground rent and maintenance charges merit it.

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

Nearly all banks and building societies will not grant a mortgage on a lease with less than seventy years left to run - although this varies from lender to lender. A buyer will undoubtedly encounter difficulties in obtaining a mortgage and this will result in your Denham property being difficult to dispose of or to obtain finance on.

What makes us experts in Denham lease extensions?

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

Denham Lease Extension Example Cases:

Mollie, Denham, Buckinghamshire,

Following lengthy correspondence with the freeholder of her studio apartment in Denham, Mollie commenced the lease extension process as the 80 year deadline was quickly nearing. The transaction was finalised in June 2007. The landlord’s costs were negotiated to less than four hundred GBP.

Denham case:

Mr and Mrs. Y Cook owned a one bedroom flat in Denham in August 1995. We are asked if we could approximate the compensation to the landlord would be for a ninety year lease extension. Comparable homes in Denham with an extended lease were valued around £260,200. The mid-range ground rent payable was £65 invoiced every twelve months. The lease ended in 2091. Taking into account 66 years unexpired we calculated the compensation to the landlord for the lease extension to be between £16,200 and £18,600 not including costs.