Harton leases on residential properties are gradually losing value. if your lease has approximately ninety years left, you should start thinking about a lease extension. An important point to note is that it is financially advisable for your lease extension to take place before the term of the current lease drops under eighty years - otherwise a higher amount will be payable. Leasehold owners in Harton will mostly be legally entitled to a lease extension; however a solicitor will check if you qualify. In certain circumstances you may not be entitled. There are prescribed timetables and steps to follow once the process is triggered so it’s sensible to be guided by a lawyer during the process.
Leasehold residencies in Harton with more than 100 years outstanding on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such circumstances there is often little to be gained by purchasing the freehold unless savings on ground rent and service charges merit it.
| 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. |
| Birmingham Midshires | Minimum 70 years from the date of the mortgage. |
| 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. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
The conveyancers that we work with undertake Harton 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 lawyer we work with provide it.
Gabriel was the the leasehold owner of a 2 bedroom apartment in Harton being sold with a lease of a little over 61 years left. Gabriel informally approached his landlord being a well known local-based freehold company and enquired on a premium to extend the lease. The freeholder was keen to give an extension on non-statutory terms taking the lease to 125 years on the basis of an increased rent to £100 yearly. No ground rent would be due on a lease extension were Gabriel to invoke his statutory right. Gabriel obtained expert advice and was able to make an informed judgement and deal with the matter and ending up with a market value flat.
Mr and Mrs. Y Lambert was assigned a lease of a studio flat in Harton in January 2004. We are asked if we could estimate the compensation to the landlord could be to prolong the lease by a further 90 years. Identical homes in Harton with an extended lease were in the region of £174,200. The average ground rent payable was £55 invoiced yearly. The lease terminated on 19 June 2077. Given that there were 51 years outstanding we estimated the premium to the landlord for the lease extension to be between £31,400 and £36,200 exclusive of professional charges.
Mrs B Watson owned a purpose-built apartment in Harton in February 2007. The question was if we could shed any light on how much (roughly) price would be for a 90 year lease extension. Similar flats in Harton with a long lease were in the region of £285,000. The mid-range amount of ground rent was £45 billed per annum. The lease elapsed in 2097. Considering the 71 years as a residual term we approximated the premium to the freeholder to extend the lease to be between £12,400 and £14,200 not including costs.