The nearer a residential lease in Hartford nears to zero years unexpired, the the greater the reduction in the value of the property. Where the lease has, in excess of 100 years to run then this decrease may be negligible however there will become a point in time when a lease has less than 80 years unexpired as part of the premium you will incur is what is known as a marriage value. This could increase markedly the cost. It is the primary reason why you should consider extending sooner than later. The majority of flat owners in Hartford will qualify for this right; nevertheless a conveyancer can confirm whether you are eligible to extend your lease. In certain situations you may not qualify, the most common reason being that you have not been the owner of the property for two years.
It is conventional wisdom that a residential leasehold with over 100 years unexpired lease term is worth approximately the equivalent as a freehold. Where an further ninety years added to all but the shortest lease, the premises will be equivalent in value to a freehold for many years ahead.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Birmingham Midshires | Minimum 70 years from the date 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. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Regardless of whether you are a tenant or a landlord in Hartford,the lease extension experts that we work with will always be prepared to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Hartford valuers.
In recent months Nathaniel, started to get close to the 80-year threshold with the lease on his basement flat in Hartford. In buying his flat 18 years previously, the unexpired term was of minimal relevance. As luck would have it, it dawned on him that he needed to take steps soon on a lease extension. Nathaniel extended the lease at the eleventh hour last April. Nathaniel and the freeholder in the end agreed on a premium of £6,000 . If he had missed the deadline, the figure would have escalated by at least £1,150.
Mr and Mrs. E Bailey acquired a ground floor flat in Hartford in March 1995. The question was if we could approximate the compensation to the landlord would likely be for a 90 year extension to my lease. Comparative residencies in Hartford with an extended lease were in the region of £200,000. The average amount of ground rent was £50 invoiced per annum. The lease came to a finish in 2102. Taking into account 77 years as a residual term we calculated the premium to the freeholder for the lease extension to be between £8,600 and £9,800 not including fees.
Last Winter we were phoned by Mr and Mrs. U Lefebvre , who was assigned a lease of a purpose-built apartment in Hartford in June 2011. We are asked if we could estimate the compensation to the landlord would likely be for a 90 year lease extension. Comparable premises in Hartford with 100 year plus lease were valued about £260,200. The average ground rent payable was £65 billed quarterly. The lease ended in 2091. Having 66 years left we calculated the premium to the freeholder for the lease extension to be between £16,200 and £18,600 not including professional charges.