Why you should commence your Eden Park lease extension

Main reasons to start your Eden Park lease extension today:

A Eden Park lease depreciates with the years remaining on the lease.

Eden Park leases on residential properties are gradually losing value. Where your lease has in the region of 90 years unexpired, you should start considering the need for a lease extension. If lease term dips under eighty years, you will then be required to pay 50% of the property's 'marriage value' on top of the usual cost of the lease extension to your landlord. Marriage value is the amount of extra value that a lease extension will add to the property. Leasehold owners in Eden Park will mostly qualify for a lease extension; however it’s a good idea to check with a conveyancer to check your eligibility. In some situations you may not be entitled. There are prescribed timetables and procedures to comply with once the process has started so it’s wise to be guided by a lawyer during the process.

An extended lease is almost the same value as a freehold

It is conventional wisdom that a residential leasehold with over one hundred years unexpired lease term is worth roughly the equivalent as a freehold. Where an additional 90 years added to any lease with more than 35 years left, the premises will be worth the same as a freehold for decades to come.

Lenders may not lend on a short lease

The trend since 2008 has been for lenders to tighten lending criteria generally - this has extended to the types of security over which the home loan is to be granted. This has resulted in the unexpired lease term required by banks has increased. In the past banks would lend on a lease with twenty years plus the term of the loan - typically 50 year leases but those requirements are being increasingly undermined by the requirement for longer and longer leases - many now have a minimum term of 75 years as standard.

What makes us experts in Eden Park lease extensions?

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

Eden Park Lease Extension Example Cases:

Callum, Eden Park, South East London,

Callum owned a studio apartment in Eden Park on the market with a lease of just over 59 years left. Callum informally contacted his landlord being a well known Bristol-based freehold company and enquired on a premium to extend the lease. The landlord indicated a willingness to extend the lease to 125 years subject to a new rent to start with set at £200 per annum and increase every twenty five years thereafter. Ordinarily, ground rent would not be payable on a lease extension were Callum to exercise his statutory right. Callum procured expert legal guidance and secured an acceptable deal without resorting to tribunal and readily saleable.

Eden Park case:

Mr Stanley Garcia took over the lease of a garden apartment in Eden Park in November 2009. The question was if we could estimate the compensation to the landlord would be to prolong the lease by an additional years. Similar flats in Eden Park with a long lease were worth £225,400. The average amount of ground rent was £45 collected annually. The lease came to a finish on 9 November 2090. Given that there were 64 years as a residual term we calculated the compensation to the freeholder for the lease extension to be within £15,200 and £17,600 plus professional charges.