Stop! Your Lease Extension in Chadderton Could Be FREE

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Many leaseholders in Chadderton are unaware that their original lawyer had a duty to warn them about future mortgageability and saleability issues. Before you pay thousands to your freeholder, let us audit your purchase history. You might have a claim that pays for your lease extension in full

If you are facing a significant premium because your lease in Chadderton has dropped toward the 80-year mark, your previous lawyer may be at fault. Our panel of experts specialise in recovering lease extension costs from negligent firms who failed to protect your investment.

Main reasons to start your Chadderton lease extension

Main reasons to commence your Chadderton lease extension today:

Increase your lease and increase your Chadderton property value

Chances are that if you own a flat in Chadderton you actually own a long leasehold interest over your property

Chadderton property with a lease extension is almost the same value as a freehold

Leasehold residencies in Chadderton with over 100 years outstanding on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such situations there is often little upside in buying the reversionary interest unless savings on ground rent and estate charges justify it.

Lending institutions may decide not to finance a property on a short lease

The trend since over the last decade has been for mortgage companies to tighten lending requirements generally - this has extended to the property over which the mortgage is to be charged. This has meant the unexpired lease term required by banks has increased. In the past banks were content with twenty years plus the term of the loan - typically fifty year leases but those requirements evolved by the requirement for lengthy leases - many use a minimum term of 75 years as a prerequisite.

Lender Requirement
Accord Mortgages 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower.
Barnsley Building Society 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term.
Birmingham Midshires Minimum 70 years from the date of the mortgage.
Chelsea Building Society 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower.
Santander

If the property is leasehold, the remaining unexpired lease term at the end of the new mortgage term must be at least 50 years where any part of the mortgage is on Interest Only and 30 years if all loan parts are on Capital Repayment and Interest.

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.
 


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.

Get in touch with one of our Chadderton lease extension solicitors or enfranchisement solicitors

The lawyers that we work with procure Chadderton 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 conveyancing solicitor we work with provide it.

Chadderton Lease Extension Case Summaries:

Jodie, Chadderton, Greater Manchester,

Following lengthy negotiations with the landlord of her two bedroom flat in Chadderton, Jodie commenced the lease extension process just as the lease was approaching the all-important eighty-year threshold. The lease extension was concluded in October 2005. The landlord’s fees were kept to an absolute minimum.

Chadderton case:

Last Christmas we were contacted by Dr P Vincent , who took over the lease of a ground floor apartment in Chadderton in April 1999. The dilemma was if we could estimate the premium could be for a ninety year extension to my lease. Identical properties in Chadderton with 100 year plus lease were valued around £176,200. The mid-range amount of ground rent was £65 collected monthly. The lease came to a finish in 2082. Given that there were 56 years left we approximated the compensation to the landlord to extend the lease to be between £29,500 and £34,000 exclusive of professional charges.

Chadderton case:

Mr and Mrs. A White took over the lease of a basement flat in Chadderton in June 2002. We are asked if we could approximate the compensation to the landlord could be to extend the lease by a further 90 years. Identical residencies in Chadderton with an extended lease were worth £242,600. The mid-range amount of ground rent was £45 invoiced monthly. The lease ended on 25 August 2093. Given that there were 67 years left we calculated the premium to the freeholder to extend the lease to be within £11,400 and £13,200 not including fees.