Edingale 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 the lease becomes more expensive. It is the case that most Edingale tenants have the right to extend their lease by an additional 90 years by virtue of the 1993 Leasehold Reform Act. Where you are a leasehold owner in Edingale you would be well advised to investigate if your lease has between 70 and 90 years left. There are good reasons why a Edingale leaseholder with a lease having around 80 years remaining should take steps to make sure that a lease extension is effected without delay
Leasehold residencies in Edingale with in excess of 100 years left on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such situations there is often little to be gained by buying the reversionary interest unless savings on ground rent and maintenance charges warrant it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| Barnsley Building Society | |
| Nationwide Building Society | |
| TSB | |
| Royal Bank of Scotland |
Lease extensions in Edingale can be a difficult process. We recommend you get guidance from a lawyer and valuer with experience in lease extensions.
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 in-depth market knowledge dealing with Edingale lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Last October Felix, came very near to the 80-year mark with the lease on his purpose- built apartment in Edingale. In buying his flat two decades ago, the lease term was of no significance. Luckily, he recognised he needed to take action soon on a lease extension. Felix was able to extend his lease at the eleventh hour in July. Felix and the freeholder via the management company subsequently settled on the final figure of £5,500 . If the lease had slipped below 80 years, the figure would have increased by a minimum £1,025.
Dr T Nguyen completed a one bedroom apartment in Edingale in March 1997. The dilemma was if we could estimate the premium would be for a ninety year extension to my lease. Similar homes in Edingale with 100 year plus lease were valued around £246,800. The mid-range amount of ground rent was £60 billed per annum. The lease expiry date was on 19 July 2076. Taking into account 50 years remaining we approximated the premium to the landlord to extend the lease to be between £44,700 and £51,600 plus costs.
Last Spring we were approach by Mr and Mrs. J Mason , who owned a ground floor apartment in Edingale in September 2004. We are asked if we could shed any light on how much (roughly) premium would be to prolong the lease by ninety years. Similar homes in Edingale with 100 year plus lease were worth £203,200. The average amount of ground rent was £65 invoiced per annum. The lease finished on 15 January 2087. Taking into account 61 years as a residual term we estimated the compensation to the freeholder to extend the lease to be between £20,000 and £23,000 not including fees.