Unfortunately that a Haddenham residential lease is a wasting asset. As the lease term reduces so does the value of the property. The extent of this is taken for granted in the first few years due to the reduction being disguised by increases in the Haddenham property market.Once your lease gets to 85ish years, you should start considering a lease extension. If the number of years remaining falls under 80 years, you will end up paying 50% of the property's 'marriage value' on top of the usual cost of the lease extension to the landlord. Marriage value is the amount of extra value that a lease extension will add the property The majority of flat owners in Haddenham will be able to extend under the legislation; however a lawyer will be able to clarify if you are eligibility. In some cases you may not qualify. There are also strict deadlines and procedures to follow once the process is initiated and you will need to be guided by your conveyancer throughout the formalities.
It is generally considered that a residential leasehold with more than 100 years remaining is worth approximately the same as a freehold. Where an further ninety years added to any lease with more than 30 years remaining, the residence will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| Coventry Building Society | A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
| Yorkshire Building Society | 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower. |
Lease extensions in Haddenham can be a difficult process. We recommend you get guidance from a lawyer and valuer 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 in-depth market knowledge procuring Haddenham lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
After unsuccessful discussions with the landlord of her basement flat in Haddenham, Charlotte started the lease extension process as the 80 year deadline was rapidly approaching. The transaction was concluded in February 2010. The freeholder’s fees were restricted to a tad over 600 GBP.
Last year we were called by Mr and Mrs. W Williams , who moved into a garden apartment in Haddenham in August 1997. The question was if we could approximate the price could be for a ninety year lease extension. Comparable homes in Haddenham with an extended lease were worth £260,200. The average amount of ground rent was £65 invoiced every twelve months. The lease concluded in 2091. Considering the 66 years unexpired we calculated the premium to the freeholder to extend the lease to be within £16,200 and £18,600 plus fees.
Last Winter we were called by Mr and Mrs. N Walker , who acquired a studio flat in Haddenham in January 2000. The dilemma was if we could approximate the premium could be to prolong the lease by an additional years. Similar flats in Haddenham with a long lease were worth £198,800. The average ground rent payable was £55 invoiced monthly. The lease expired in 2080. Given that there were 55 years outstanding we approximated the compensation to the landlord to extend the lease to be within £33,300 and £38,400 not including legals.