Why you should start your Peak District lease extension

Top reasons for lease extension now:

A Peak District lease depreciates with the years remaining on the lease.

The market value of Peak District leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The expense of extending the lease can escalate substantially once the unexpired lease term is less than 80 years

An extended lease has roughly the same value as a freehold

It is generally considered that a property with in excess of 100 years unexpired lease term is worth approximately the equivalent as a freehold. Where an further ninety years added to all but the shortest lease, the residence will be equivalent in value to a freehold for decades to come.

Lending institutions will not grant a mortgage on a short lease

Nearly all mortgage lenders will not grant a mortgage on a lease with under 70 years left to run - although this varies between mortgage companies. A buyer will no doubt find it difficult in obtaining a mortgage and this will result in your Peak District property being difficult to sell or refinance.

Get in touch with one of our Peak District lease extension solicitors or enfranchisement solicitors

Lease extensions in Peak District can be a difficult process. We recommend you secure professional help from a lawyer and surveyor with experience in this area.

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

Peak District Lease Extension Case Studies:

Ashleigh, Peak District, Derbyshire,

Off the back of protracted negotiations with the freeholder of her studio flat in Peak District, Ashleigh initiated the lease extension process as the eighty year mark was rapidly coming. The legal work was finalised in September 2005. The freeholder’s costs were kept to an absolute minimum.

Peak District case:

Last Christmas we were phoned by Mr and Mrs. E Adams , who purchased a studio flat in Peak District in February 2011. The dilemma was if we could approximate the compensation to the landlord could be for a ninety year extension to my lease. Identical homes in Peak District with an extended lease were worth £280,000. The average ground rent payable was £55 billed annually. The lease terminated in 2103. Considering the 77 years as a residual term we approximated the compensation to the freeholder to extend the lease to be within £13,300 and £15,400 plus professional charges.

Peak District case:

Mr I Cooper completed a one bedroom apartment in Peak District in July 1998. The question was if we could approximate the compensation to the landlord would be to extend the lease by ninety years. Similar residencies in Peak District with 100 year plus lease were valued around £183,600. The mid-range ground rent payable was £65 invoiced yearly. The lease expired on 26 February 2083. Considering the 57 years left we approximated the compensation to the landlord to extend the lease to be between £28,500 and £33,000 not including fees.