Main reasons to start your Halifax lease extension

Top reasons for lease extension now:

A Halifax leasehold property depreciates with the years remaining on the lease.

Halifax leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of your lease gets more expensive. The majority of owners of residential leasehold property in Halifax enjoy rights under legislation to extend the terms of their leases. Where you are a leasehold owner in Halifax you should check if your lease has between seventy and 90 years left. In particular once the remaining lease term slips under 80 years, the premium due on any lease extension increases dramatically as part of the premium you will incur is what is known as a marriage value

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

It is generally considered that a property with in excess of one hundred years unexpired lease term is worth roughly the same as a freehold. Where an further ninety years added to any lease with more than 35 years left, the property will be equivalent in value to a freehold for many years in the future.

Lenders may not finance a property with a short lease

Banks and building societies are distinct in their lending requirements. Some set the bar at 75 years outstanding on the lease; others may be content with anything with more than seventy years. With less than sixty years, it may be problematic to obtain a mortgage in the first place.

What makes us experts in Halifax lease extensions?

Irrespective of whether you are a tenant or a freeholder in Halifax,the lease extension lawyers that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Halifax valuers.

Halifax Lease Extension Example Cases:

Nicole, Halifax, West Yorkshire,

In the wake of eight months of lengthy negotiations with the landlord of her leasehold flat in Halifax, Nicole commenced the lease extension process as the eighty year threshold was rapidly nearing. The lease extension completed in November 2011. The freeholder’s fees were kept to an absolute minimum.

Halifax case:

In 2012 we were phoned by Dr A Bell who, having completed a studio flat in Halifax in November 2004. We are asked if we could estimate the premium would likely be to extend the lease by a further 90 years. Similar premises in Halifax with a long lease were valued around £181,600. The mid-range amount of ground rent was £55 billed quarterly. The lease concluded in 2078. Having 52 years as a residual term we calculated the premium to the landlord to extend the lease to be within £30,400 and £35,200 not including legals.

Halifax case:

In 2012 we were approached by Dr Archie Ramírez who, having owned a basement apartment in Halifax in November 1997. We are asked if we could shed any light on how much (approximately) premium would be to prolong the lease by 90 years. Comparative flats in Halifax with a long lease were worth £285,000. The mid-range ground rent payable was £45 collected yearly. The lease terminated on 26 February 2098. Considering the 72 years left we approximated the premium to the freeholder to extend the lease to be between £12,400 and £14,200 not including costs.