Huddersfield leases on residential properties are gradually losing value. if your lease has approximately ninety years remaining, you should start considering the need for a lease extension. If lease term is less than 80 years, you will then be required to pay half of the property's 'marriage value' in addition to the usual cost of the lease extension to the landlord. Marriage value is the amount of additional value that a lease extension will add to the property. Flat owners in Huddersfield will usually qualify for a lease extension; however it’s a good idea to check with a conveyancing solicitor to check your eligibility. In certain cases you may not qualify. There are prescribed timetables and formalities to follow once the process has commenced so it’s best to be guided by a conveyancer during the process.
Leasehold premises in Huddersfield with over one hundred years left on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such circumstances there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and maintenance charges warrant it.
| Lender | Requirement |
|---|---|
| Coventry Building Society | A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion. |
| Godiva Mortgages | A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| Santander | You must report the unexpired lease term to us and await our instructions if: 1. the unexpired term assumed by our valuer is between 55 and 82 years, but the actual unexpired term differs by more than one year (whether longer or shorter); or 2. the unexpired term assumed by our valuer is more than 82 years but the actual unexpired term is less than 82 years; or 3. no valuation report is provided However, we will not accept a lease where on expiry of the mortgage: (i) less than 50 years remain and all or part of the loan is repaid on an interest-only basis: or (ii) less than 30 years remain and the loan is repaid on a capital and interest basis We will accept a lease that has been extended under the provisions of the Leasehold Reform Act 1993 provided statutory compensation would be available to the leaseholder. |
| 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 |
Retaining our service gives you enhanced control over the value of your Huddersfield leasehold, as your property will be more valuable and saleable in relation to the lease length should you wish to sell. The conveyancing solicitors that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.
Subsequent to lengthy discussions with the landlord of her one bedroom flat in Huddersfield, Francesca commenced the lease extension process just as her lease was approaching the crucial eighty-year mark. The lease extension was concluded in August 2015. The landlord’s charges were negotiated to about 650 pounds.
In 2010 we were e-mailed by Mr and Mrs. E Cooper who, having took over the lease of a first floor flat in Huddersfield in September 2006. We are asked if we could approximate the premium could be to extend the lease by a further 90 years. Comparable homes in Huddersfield with a long lease were valued about £225,400. The average amount of ground rent was £45 invoiced per annum. The lease termination date was in 2089. Having 64 years left we approximated the compensation to the landlord to extend the lease to be between £15,200 and £17,600 not including costs.
In 2011 we were called by Mr F Sánchez who, having completed a recently refurbished apartment in Huddersfield in January 2007. We are asked if we could estimate the price could be for a 90 year extension to my lease. Comparable flats in Huddersfield with 100 year plus lease were in the region of £270,000. The average amount of ground rent was £55 invoiced yearly. The lease end date was in 2100. Having 75 years as a residual term we approximated the compensation to the freeholder to extend the lease to be between £9,500 and £11,000 exclusive of expenses.