Owning a apartment usually means owning a lease of the property, this is a ‘time-limited’ interest becoming shorter every day. This lease will normally be granted for a prescribed period of time , usually 99 or 125 years, although we have witnessed longer and shorter terms in Hartford. Clearly, the term of lease left shortens over time. This is often ignored and only raises itself as an issue when the residence has to be sold or refinanced. The shorter the lease the lower the value of the property and the more expensive it will be to extend the lease. Eligible long lease owners in Hartford have the legal entitlement to extend the lease for an additional 90 years in accordance with statute. Please give due attention before delaying your Hartford lease extension. Holding off that expense now simply increases the price you will ultimately incur to extend your lease
It is conventional wisdom that a residential leasehold with over one hundred years unexpired lease term is worth approximately the same as a freehold. Where an additional ninety years added to any lease with more than 45 years left, the property will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Accord Mortgages | |
| TSB | |
| The Mortgage Works | |
| Royal Bank of Scotland | |
| Yorkshire Building Society |
The conveyancers that we work with procure Hartford 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.
Jason was the the leasehold proprietor of a high value flat in Hartford being marketed with a lease of a few days over 61 years left. Jason informally approached his freeholder being a well known Manchester-based freehold company for a lease extension. The freeholder indicated a willingness to extend the lease to 125 years on the basis of a new rent to start with set at £200 per annum and doubled every 25 years thereafter. Ordinarily, ground rent would not be due on a lease extension were Jason to invoke his statutory right. Jason obtained expert legal guidance and was able to make an informed decision and deal with the matter and readily saleable.
In 2009 we were e-mailed by Mr and Mrs. D Brown who, having purchased a newly refurbished flat in Hartford in September 2000. The dilemma was if we could approximate the compensation to the landlord would be for a 90 year extension to my lease. Similar properties in Hartford with 100 year plus lease were valued around £267,600. The average ground rent payable was £65 collected annually. The lease ended in 2093. Having 67 years as a residual term we estimated the premium to the landlord to extend the lease to be within £14,300 and £16,400 not including legals.
Mr and Mrs. Y Bell acquired a studio flat in Hartford in March 2009. We are asked if we could shed any light on how much (roughly) compensation to the landlord would likely be to prolong the lease by ninety years. Identical homes in Hartford with an extended lease were worth £201,200. The average amount of ground rent was £55 billed yearly. The lease lapsed on 17 August 2082. Given that there were 56 years outstanding we approximated the compensation to the freeholder for the lease extension to be within £31,400 and £36,200 not including expenses.