It’s a harsh truth that a Huddersfield residential lease is a deteriorating asset. As the lease term reduces so does the value of the property. The extent of this is not fully appreciated in the first few years due to the deflation being disguised by increases in the Huddersfield property market.Where your lease has approximately 90 years left, you need to start considering a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease dips under 80 years - otherwise a higher premium will be due. The majority of flat owners in Huddersfield will be able to extend under the legislation; however a conveyancer will be able to confirm whether you qualify for an extension. In some situations you may not qualify. There are also strict timetables and procedures to be adhered to once the process is instigated and you will need to be guided by your conveyancing solicitor for the duration of the process.
Leasehold residencies in Huddersfield with over one hundred years outstanding on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such circumstances there is often little to be gained by buying the reversionary interest unless savings on ground rent and service charges justify it.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | |
| National Westminster Bank | |
| The Mortgage Works | |
| Royal Bank of Scotland | |
| Virgin |
Retaining our service will provide you better control over the value of your Huddersfield leasehold, as your property will be more valuable and marketable in relation to the lease length should you want to sell. The lawyers that we work with have a wealth of experience of handling many hundreds of lease extensions or freehold purchase transactions.
After protracted negotiations with the freeholder of her garden flat in Huddersfield, Victoria started the lease extension process just as the lease was approaching the critical 80-year threshold. The lease extension was finalised in September 2013. The freeholder’s charges were restricted to below 550 GBP.
Mr Finn Davis moved into a basement apartment in Huddersfield in January 1996. The dilemma was if we could shed any light on how much (roughly) price would likely be for a 90 year extension to my lease. Comparable flats in Huddersfield with 100 year plus lease were worth £193,400. The mid-range ground rent payable was £65 billed every twelve months. The lease came to a finish in 2085. Having 59 years outstanding we approximated the compensation to the landlord to extend the lease to be between £21,900 and £25,200 exclusive of expenses.
Last month we were contacted by Ms Rachael Campbell , who owned a ground floor flat in Huddersfield in March 2010. The dilemma was if we could estimate the premium could be to extend the lease by a further 90 years. Similar premises in Huddersfield with an extended lease were worth £255,000. The average amount of ground rent was £50 invoiced quarterly. The lease came to a finish in 2096. Given that there were 70 years remaining we calculated the compensation to the landlord to extend the lease to be between £10,500 and £12,000 not including legals.