Why you should commence your Hartlepool lease extension

Main reasons to start your Hartlepool lease extension today:

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

With a domestic leasehold property in Hartlepool, you effectively rent it for a certain period of time. These days flat leases typically tend to be for 99 years or 125. Even though this may appear like a lengthy period of time, you may think about extending the lease sooner as opposed to later. Accepted thinking is that the shorter the number of years is the cost of extending the lease increases markedly especially when there are less than 80 years left. Anyone in Hartlepool with a lease drawing near to 81 years left should seriously consider extending it without delay. When the lease term has less than 80 years remaining, under the relevant statute the freeholder can calculate and charge a greater amount, based on a technical calculation, known as “marriage value” which is due.

An extended lease has roughly the same value as a freehold

It is generally considered that a property with over 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an further ninety years added to any lease with more than 45 years left, the property will be worth the same as a freehold for many years ahead.

Lending institutions may not lend on a short lease

The definition of a short lease depends on the specific mortgage company, yet mortgage lenders start to get nervous at around 75 years. This may be problematic as and when you come to dispose of or refinance your flat as it will be effectively unmortgageable. You may not have an imminent plan to sell but when you do your purchaser will have to hold off for two years before being able to start the legal procedures for an extension to the lease.

Why use us for your lease extension in Hartlepool?

The conveyancers that we work with procure Hartlepool lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancing solicitor we work with provide it.

Hartlepool Lease Extension Case Summaries:

Kai, Hartlepool, County Durham

Twenty four months ago Kai, started to get close to the 80-year mark with the lease on his one bedroom apartment in Hartlepool. In buying his property 19 years ago, the unexpired term was of minimal interest. Thankfully, he realised he would soon be paying way over the odds for a lease extension. Kai extended the lease at the eleventh hour last January. Kai and the landlord ultimately settled on sum of £5,500 . If he had missed the deadline, the sum would have escalated by a minimum £975.

Hartlepool case:

Dr P Wilson bought a garden flat in Hartlepool in November 2009. We are asked if we could approximate the premium would be for a 90 year lease extension. Comparable residencies in Hartlepool with a long lease were worth £213,600. The average ground rent payable was £60 collected annually. The lease ran out on 25 January 2083. Considering the 57 years unexpired we approximated the compensation to the freeholder to extend the lease to be between £30,400 and £35,200 exclusive of expenses.

Hartlepool case:

Mr and Mrs. H Alexander moved into a purpose-built flat in Hartlepool in July 2009. The dilemma was if we could shed any light on how much (roughly) price could be to prolong the lease by ninety years. Comparative premises in Hartlepool with an extended lease were valued about £200,000. The average ground rent payable was £50 invoiced monthly. The lease terminated in 2103. Taking into account 77 years unexpired we estimated the compensation to the landlord to extend the lease to be between £8,600 and £9,800 not including legals.