Bought a used hatfield takedown in great shape, however the brace height is set lower than 7 1/4, its at about 6 1/4. I do plan on buying a new string but wasn't sure if this low was bad for the bow.

Learning a lot from this site, thanks all.

Sounds low to me!  Just twist the string so that it is shorter.  For a recurve I would say around 8" is a good place to start.

For a Hatfield, shooting it that low is not a good idea.

The Hatfield's recommended brace height is between 7 1/4" to 8". With heavy arrows, it will be a quiet shooting bow.

http://www.damonhowatt.com/hatfieldtakedown.php

I would start at 7 1/2 and then go by sixteenth of an inch upward.

yup 7 1/2

I agree with starting at about 7 1/2" and moving up as necessary. The Hatfield is a darn good bow.

As long as the string is in good shape, no need to replace it; adding some twists to the string will shorten the string, thereby increase your brace height.  

Unstring your bow taking the top loop only off of the limb (could use the bottom as well, no matter) Once you have the string off of the limb, look down it's long axis and determine which direction you need to twist it to "tighten" it.  Put a full 360 degree twist or two in, restring your bow and check the brace height. May take a time or two, and possibly taking a twist back out, but eventually you'll get it where it needs to be.