Hastings leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of the lease becomes more expensive. Most owners of residential leasehold property in Hastings enjoy rights under legislation to extend the terms of their leases. Where you are a leasehold owner in Hastings you really ought to see if your lease has between 70 and ninety years left. There are good reasons why a Hastings leaseholder with a lease having around eighty years left should take steps to make sure that a lease extension is put in place without delay
It is generally considered that a property with over 100 years unexpired lease term is worth approximately the same as a freehold. Where an additional ninety years added to any lease with more than 30 years unexpired, the property will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Barclays plc | |
| Halifax | |
| National Westminster Bank | |
| Nationwide Building Society | |
| Santander |
The lawyers that we work with undertake Hastings 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.
In the wake of 6 months of protracted discussions with the freeholder of her ground floor apartment in Hastings, Georgia commenced the lease extension process as the 80 year mark was fast coming. The legal work was concluded in August 2005. The landlord’s charges were kept to an absolute minimum.
In 2012 we were approached by Dr W Mitchell who, having acquired a one bedroom flat in Hastings in July 2008. We are asked if we could estimate the price could be for a 90 year extension to my lease. Identical premises in Hastings with 100 year plus lease were worth £208,200. The average amount of ground rent was £65 billed annually. The lease terminated in 2087. Considering the 61 years as a residual term we calculated the compensation to the landlord to extend the lease to be between £20,000 and £23,000 exclusive of expenses.
In 2009 we were called by Dr U White who, having purchased a basement apartment in Hastings in September 2003. We are asked if we could approximate the compensation to the landlord could be to extend the lease by ninety years. Comparative properties in Hastings with an extended lease were worth £260,000. The mid-range amount of ground rent was £50 billed monthly. The lease finished on 13 February 2098. Considering the 72 years left we approximated the premium to the landlord for the lease extension to be between £9,500 and £11,000 plus expenses.