When it comes to long leasehold premises in Hebden Bridge, you are actually buying a right to live in a property for a prescribed time frame. In recent years flat leases are usually granted for 99 years or 125. Many leasehold owners become complacent as this seems like a long period of time, you may consider extending the lease sooner as opposed to later. The general rule is that the shorter the lease is the cost of extending the lease becomes disproportionately greater notably once there are less than eighty years left. Residents in Hebden Bridge with a lease drawing near to 81 years remaining should seriously consider extending it as soon as possible. When a lease has under eighty years outstanding, under the relevant statute the landlord is entitled to calculate and charge a larger premium, based on a technical computation, strangely termed as “marriage value” which is due.
It is conventional wisdom that a property with more than one hundred years remaining is worth approximately the same as a freehold. Where an further 90 years added to any lease with more than 35 years remaining, the premises will be equivalent in value to a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | |
| Godiva Mortgages | |
| National Westminster Bank | |
| Skipton Building Society | |
| Royal Bank of Scotland |
The lawyers that we work with handle Hebden Bridge 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.
Trailing lengthy discussions with the freeholder of her basement flat in Hebden Bridge, Niamh initiated the lease extension process just as the lease was coming close to the crucial 80-year mark. The legal work completed in October 2014. The freeholder’s fees were kept to an absolute minimum.
Last October we were called by Mr P Roux , who acquired a basement flat in Hebden Bridge in July 2011. The question was if we could estimate the premium could be to prolong the lease by a further 90 years. Comparative properties in Hebden Bridge with 100 year plus lease were valued about £285,000. The average amount of ground rent was £55 billed per annum. The lease came to a finish on 18 June 2106. Given that there were 80 years remaining we estimated the compensation to the freeholder for the lease extension to be within £12,400 and £14,200 exclusive of professional charges.
Mr and Mrs. D Garcia took over the lease of a studio flat in Hebden Bridge in June 2002. We are asked if we could approximate the price would likely be for a 90 year extension to my lease. Identical flats in Hebden Bridge with a long lease were worth £200,800. The mid-range amount of ground rent was £65 invoiced per annum. The lease terminated in 2086. Having 60 years left we estimated the premium to the freeholder for the lease extension to be within £20,900 and £24,200 not including legals.