Unfortunately that a Haltwhistle residential lease is a deteriorating asset. As the lease term reduces so does the value of the property. The extent of this is not fully appreciated in the early years due to the depreciation being disguised by increases in the Haltwhistle property market.Where your lease has approximately 90 years left, you need to start thinking about a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease slips lower than eighty years - otherwise a higher premium will be due. The majority of flat owners in Haltwhistle will be able to extend under the legislation; however a lawyer will be able to confirm if you are eligibility. In some situations you may not be entitled. There are also strict deadlines and procedures to follow once the process has commenced and you will need to be guided by your conveyancer from beginning to end of the formalities.
It is conventional wisdom that a property with over 100 years unexpired lease term is worth roughly the same as a freehold. Where an further ninety years added to all but the shortest lease, the premises will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Barclays plc | |
| Chelsea Building Society | |
| Coventry Building Society | |
| Santander | |
| Royal Bank of Scotland |
Retaining our service will provide you enhanced control over the value of your Haltwhistle leasehold, as your property will be more valuable and marketable in terms of lease length should you decide to sell. The conveyancers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
Austin owned a high value flat in Haltwhistle being sold with a lease of fraction over sixty years remaining. Austin on an informal basis approached his freeholder a well known Bristol-based freehold company for a lease extension. The landlord indicated a willingness to extend the lease to 125 years on the basis of an increased rent to £200 annually. No ground rent would be due on a lease extension were Austin to exercise his statutory right. Austin procured expert legal guidance and secured an acceptable resolution without going to tribunal and sell the flat.
Last Winter we were called by Mrs Gemma Johnson , who acquired a one bedroom apartment in Haltwhistle in June 2003. We are asked if we could approximate the premium would be to prolong the lease by ninety years. Identical properties in Haltwhistle with 100 year plus lease were valued around £235,200. The average amount of ground rent was £45 collected quarterly. The lease lapsed in 2092. Taking into account 66 years as a residual term we estimated the compensation to the landlord for the lease extension to be within £12,400 and £14,200 not including costs.
Dr R Collins was assigned a lease of a one bedroom flat in Haltwhistle in January 2010. The dilemma was if we could shed any light on how much (approximately) price could be to prolong the lease by an additional years. Comparative premises in Haltwhistle with 100 year plus lease were worth £275,000. The mid-range amount of ground rent was £55 collected quarterly. The lease termination date was in 2103. Given that there were 77 years remaining we approximated the premium to the freeholder to extend the lease to be within £13,300 and £15,400 exclusive of costs.