With a long leasehold property in Haverhill, you are in fact renting it for a certain amount of time. These days flat leases typically tend to be for 99 years or 125. Many leasehold owners become complacent as this seems like a long period of time, you should consider 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 notably when there are fewer than eighty years remaining. Anyone in Haverhill with a lease approaching 81 years unexpired should seriously think of extending it without delay. When a lease has fewer than eighty years outstanding, under the relevant statute the landlord is entitled to calculate and charge a larger amount, assessed on a technical computation, strangely termed as “marriage value” which is payable.
Leasehold premises in Haverhill with more than 100 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 home. In such situations there is often little upside in purchasing the freehold unless savings on ground rent and service charges warrant it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 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. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must also be not less than 75 years at the outset of the mortgage. |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Lease extensions in Haverhill can be a difficult process. We recommend you secure guidance from a conveyancing solicitor and surveyor well versed in the legislation and lease extension process.
We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have in-depth market knowledge dealing with Haverhill lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
During the course of the last few months Riley, started to get close to the eighty-year mark with the lease on his purpose- built apartment in Haverhill. Having bought his home 18 years ago, the unexpired term was of minimal importance. by good luck, he became aware that he would imminently be paying way over the odds for a lease extension. Riley was able to extend his lease at the eleventh hour last June. Riley and the freeholder in the end agreed on sum of £5,000 . If he failed to meet the deadline, the price would have escalated by at least £875.
Last September we were e-mailed by Dr Jonathan King , who acquired a basement flat in Haverhill in November 2003. The dilemma was if we could estimate the compensation to the landlord would be for a 90 year lease extension. Comparable flats in Haverhill with an extended lease were valued about £198,800. The average amount of ground rent was £55 billed per annum. The lease expired in 2080. Having 55 years left we estimated the compensation to the landlord to extend the lease to be between £33,300 and £38,400 exclusive of professional charges.
Last Spring we were phoned by Dr Olivia Allen , who bought a first floor apartment in Haverhill in September 2012. The dilemma was if we could estimate the price would likely be for a ninety year lease extension. Identical homes in Haverhill with 100 year plus lease were valued around £300,000. The average ground rent payable was £50 billed annually. The lease lapsed on 1 June 2100. Having 75 years outstanding we approximated the premium to the freeholder to extend the lease to be between £8,600 and £9,800 not including expenses.