Top reasons for Edmonton lease extension

Main reasons to start your Edmonton lease extension today:

A Edmonton lease depreciates with the years remaining on the lease.

When it comes to domestic leasehold property in Edmonton, you are in fact renting it for a certain amount of time. In recent years flat leases are usually granted for 99 years or 125. Many leasehold owners become complacent as this seems like a long period of time, you may consider a lease extension sooner rather than later. The general rule is that the shorter the number of years is the cost of extending the lease increases markedly notably once there are fewer than 80 years left. Anyone in Edmonton with a lease approaching 81 years remaining should seriously think of extending it sooner rather than later. Once a lease has under 80 years remaining, under the relevant legislation the freeholder is entitled to calculate and demand a greater premium, assessed on a technical multiplication, strangely termed as “marriage value” which is due.

An extended lease has roughly the same value as a freehold

Leasehold premises in Edmonton with in excess of 100 years remaining on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such circumstances there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and estate charges justify it.

Mortgage lenders may decide not to lend on a short lease

The propensity since the credit crunch has been for lenders to tighten lending requirements across the board - this has extended to the types of security over which the mortgage is to be granted. This has meant the minimum number of years remaining under the lease required by mortgage companies has increased. Historically mortgage companies were content with twenty years plus the term of the loan - routinely 50 year leases but those requirements evolved by the requirement for lengthy leases - many now have a minimum term of 75 years as a prerequisite.

Why use us for your lease extension in Edmonton?

Lease extensions in Edmonton can be a difficult process. We recommend you procure professional help from a lawyer and surveyor well versed in the legislation and lease extension process.

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

Edmonton Lease Extension Case Summaries:

Lucy, Edmonton, North London,

In the wake of eight months of lengthy negotiations with the freeholder of her two bedroom flat in Edmonton, Lucy initiated the lease extension process as the eighty year deadline was quickly approaching. The legal work was concluded in July 2007. The landlord’s charges were restricted to less than 700 pounds.

Edmonton case:

Dr W Martin bought a basement flat in Edmonton in January 2001. We are asked if we could approximate the premium would likely be for a 90 year extension to my lease. Comparable premises in Edmonton with an extended lease were valued about £280,000. The average ground rent payable was £55 billed monthly. The lease terminated in 2105. Considering the 79 years remaining we approximated the compensation to the freeholder to extend the lease to be between £12,400 and £14,200 exclusive of costs.