The rule of thumb is, all other factors being equal, the shorter the lease the more expensive the premium. Qualifying leaseholders in Harwich may extend the lease for a further 90 years under statute. Please think carefully before delaying your Harwich lease extension. Putting off that expense today simply escalates the amount you will eventually be required to pay for a lease extension.
Leasehold properties in Harwich with in excess of one hundred years unexpired on the lease are often regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little to be gained by purchasing the freehold unless savings on ground rent and service charges warrant it.
| Lender | Requirement |
|---|---|
| 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. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Regardless of whether you are a tenant or a freeholder in Harwich,the lease extension solicitors 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 Harwich valuers.
Off the back of lengthy negotiations with the freeholder of her garden flat in Harwich, Freya initiated the lease extension process as the eighty year deadline was fast approaching. The transaction was concluded in April 2012. The landlord’s charges were negotiated to about four hundred pounds.
In 2013 we were contacted by Mr and Mrs. D Walker who, having moved into a one bedroom apartment in Harwich in July 2001. We are asked if we could shed any light on how much (roughly) price would be to extend the lease by 90 years. Identical premises in Harwich with 100 year plus lease were valued about £166,400. The average amount of ground rent was £60 collected yearly. The lease concluded in 2079. Given that there were 54 years remaining we estimated the compensation to the landlord to extend the lease to be between £32,300 and £37,400 plus legals.
In 2009 we were phoned by Mr and Mrs. N Baker who, having owned a purpose-built flat in Harwich in February 1995. We are asked if we could approximate the premium would likely be for a 90 year extension to my lease. Comparative homes in Harwich with 100 year plus lease were worth £227,800. The mid-range amount of ground rent was £45 billed quarterly. The lease expired in 2090. Considering the 65 years remaining we approximated the compensation to the freeholder for the lease extension to be between £13,300 and £15,400 not including fees.