The nearer a domestic lease in Hartlepool nears to zero years unexpired, the more it reduces the value of the property. If the residual term has, in excess of 100 years to run then this decrease may be negligible nevertheless there will become a point in time when a lease has under than 80 years unexpired as part of the premium you will incur is what is known as a marriage value. This could increase sharply the cost. It is the main rational as to why you should extend the lease without delay. Most flat owners in Hartlepool will qualify for this right; that being said a conveyancer will be able to advise if you qualify to extend your lease. In certain situations you may not qualify, the most common reason being that you have owned the property for less than two years.
It is generally considered that a property with more than one hundred years remaining is worth roughly the same as a freehold. Where an additional 90 years added to all but the shortest lease, the premises will be worth the same as a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Chelsea 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. |
| 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
Regardless of whether you are a tenant or a freeholder in Hartlepool,the lease extension experts that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Hartlepool valuers.
Adam owned a studio apartment in Hartlepool on the market with a lease of fraction over 72 years left. Adam on an informal basis contacted his freeholder a well known Bristol-based freehold company and enquired on a premium to extend the lease. The freeholder was prepared to give an extension on non-statutory terms taking the lease to 125 years subject to a rise in the rent to £125 per annum. No ground rent would be payable on a lease extension were Adam to invoke his statutory right. Adam procured expert advice and was able to make an informed decision and deal with the matter and ending up with a market value flat.
Mr Aiden Patel acquired a newly refurbished apartment in Hartlepool in January 1998. We are asked if we could estimate the price would likely be to prolong the lease by an additional years. Identical properties in Hartlepool with a long lease were valued about £250,400. The mid-range amount of ground rent was £65 collected yearly. The lease ended on 16 June 2090. Considering the 64 years left we approximated the compensation to the landlord for the lease extension to be within £19,000 and £22,000 plus costs.
Last Summer we were contacted by Mrs H André , who owned a recently refurbished flat in Hartlepool in March 1995. We are asked if we could approximate the price could be for a 90 year lease extension. Comparable homes in Hartlepool with 100 year plus lease were worth £189,000. The mid-range amount of ground rent was £55 billed per annum. The lease elapsed in 2079. Given that there were 53 years outstanding we approximated the premium to the landlord for the lease extension to be within £28,500 and £33,000 not including legals.