Why you should commence your Upper Edmonton lease extension

Top reasons for lease extension now:

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

Upper Edmonton leases on residential properties are gradually decreasing in value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of your lease gets more expensive. Most owners of residential leasehold property in Upper Edmonton enjoy rights under legislation to extend the terms of their leases. If you are a leasehold owner in Upper Edmonton you would be well advised to check if your lease has between seventy and ninety years remaining. In particular once the remaining lease term slips under 80 years, the compensation to the landlord for any lease extension sharply increases as part of the premium you will incur is what is known as a marriage value

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

It is generally considered that a property with in excess of 100 years remaining is worth roughly the equivalent as a freehold. Where an further 90 years added to all but the shortest lease, the residence will be equivalent in value to a freehold for many years ahead.

Lenders may not loan monies with a short lease

Nearly all mortgage companies will not lend on a lease with less than seventy years left to run - although this varies between mortgage companies. A purchaser will no doubt find it difficult to obtain a mortgage and this could result in your Upper Edmonton property being difficult to dispose of or to obtain finance on.

What makes us experts in Upper Edmonton lease extensions?

Regardless of whether you are a tenant or a landlord in Upper Edmonton,the lease extension lawyers that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Upper Edmonton valuers.

Upper Edmonton Lease Extension Case Summaries:

Jackson, Upper Edmonton, North London,

Jackson was the the leasehold owner of a studio flat in Upper Edmonton on the market with a lease of fraction over 61 years outstanding. Jackson informally spoke with his landlord being a well known Bristol-based freehold company and enquired on a premium to extend the lease. The freeholder indicated a willingness to extend the lease to 125 years on the basis of a new rent to start with set at £150 per annum and increase every 25 years thereafter. No ground rent would be due on a lease extension were Jackson to invoke his statutory right. Jackson obtained expert advice and secured an acceptable resolution without resorting to tribunal and ending up with a market value flat.

Upper Edmonton case:

Last month we were called by Mrs M Garcia , who owned a basement flat in Upper Edmonton in September 2008. We are asked if we could approximate the price would likely be for a 90 year extension to my lease. Comparative premises in Upper Edmonton with an extended lease were in the region of £270,000. The mid-range amount of ground rent was £55 invoiced yearly. The lease ended in 2101. Considering the 75 years unexpired we estimated the compensation to the landlord to extend the lease to be within £9,500 and £11,000 exclusive of costs.

Upper Edmonton case:

Last Spring we were called by Mr and Mrs. P Lefèvre , who purchased a one bedroom apartment in Upper Edmonton in May 2009. We are asked if we could shed any light on how much (approximately) compensation to the landlord would likely be to prolong the lease by an additional years. Comparative premises in Upper Edmonton with a long lease were worth £173,800. The mid-range ground rent payable was £60 billed per annum. The lease expiry date was in 2081. Taking into account 55 years remaining we calculated the premium to the freeholder for the lease extension to be within £31,400 and £36,200 not including expenses.