With a long leasehold property in Hatton, you are actually buying an entitlement to reside in a property for a set period of time. These days flat leases are usually granted for 99 years or 125. Many leasehold owners become complacent as this seems like a lengthy period of time, you may think about a lease extension sooner rather than later. Accepted thinking is that the shorter the number of years is the cost of extending the lease becomes disproportionately greater especially when there are less than eighty years remaining. Residents in Hatton with a lease approaching 81 years left should seriously think of extending it without delay. When the lease term has under 80 years left, under the current Act the freeholder is entitled to calculate and charge a greater amount, based on a technical calculation, known as “marriage value” which is payable.
It is generally accepted that a residential leasehold with in excess of 100 years unexpired lease term is worth roughly the same as a freehold. Where an additional 90 years added to all but the shortest lease, the premises will be equivalent in value to a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Bank of Scotland | |
| Coventry Building Society | |
| Santander | |
| The Mortgage Works | |
| Royal Bank of Scotland |
The conveyancers that we work with undertake Hatton 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.
Half a year ago Joshua, came perilously close to the 80-year threshold with the lease on his garden flat in Hatton. In buying his property two decades ago, the length of the lease was of minimal concern. As luck would have it, he noticed he needed to take steps soon on a lease extension. Joshua extended the lease at the eleventh hour in May. Joshua and the freeholder via the managing agents in the end agreed on the final figure of £5,000 . If he not met the deadline, the sum would have gone up by at least £1,000.
Mr and Mrs. K Pérez was assigned a lease of a one bedroom flat in Hatton in January 2012. We are asked if we could approximate the premium would likely be to prolong the lease by 90 years. Comparable residencies in Hatton with a long lease were valued about £243,000. The mid-range ground rent payable was £65 collected per annum. The lease came to a finish in 2089. Taking into account 63 years remaining we estimated the premium to the freeholder for the lease extension to be within £20,000 and £23,000 not including legals.
An example of a Lease Extension matter before the tribunal for a Hatton property is 147 Redford Close in June 2012. The Tribunal determined the lease extension premium to be at £4,200 This case affected 1 flat. The unexpired term as at the valuation date was 82.93 years.