Stop! Your Lease Extension in Cheltenham Could Be FREE

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Many leaseholders in Cheltenham 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 Cheltenham 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 commence your Cheltenham lease extension

Main reasons to commence your Cheltenham lease extension today:

Increase your lease and increase your Cheltenham property value

For anyone whose Cheltenham flat is held on a long lease, the message is clear – if no remedial action is taken, your property will ultimately revert to your landlord, leaving you empty-handed. The shorter the lease the less it is worth and the more expensive it will be to extend the lease.

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

It is conventional wisdom that a residential leasehold with in excess of one hundred years unexpired lease term is worth approximately the equivalent as a freehold. Where an additional 90 years added to all but the shortest lease, the property will be worth the same as a freehold for many years ahead.

Lenders will not finance a property with a short lease

The definition of a short lease depends on the specific mortgage company, yet banks and building societies start to become nervous at around 75 years. This may be problematic when you need to market or refinance your flat as it will be effectively unmortgageable. Even though you may not have an imminent plan to sell but when you do your buyer will have to wait two years before they can exercise the right to a a lease extension.

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.
Halifax Minimum 70 years from the date of the mortgage.
Lloyds TSB Scotland Minimum 70 years from the date of the mortgage.
TSB Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption.
Virgin 85 years at the time of completion. If it's less, we require it to be extended on or before completion.

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

The lawyers that we work with undertake Cheltenham 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 conveyancer we work with provide it.

Cheltenham Lease Extension Case Summaries:

Mollie, Cheltenham, Gloucestershire,

Subsequent to lengthy discussions with the freeholder of her one bedroom flat in Cheltenham, Mollie started the lease extension process as the 80 year threshold was swiftly approaching. The lease extension was finalised in January 2005. The freeholder’s fees were restricted to approximately 450 GBP.

Cheltenham case:

Last Winter we were e-mailed by Mr and Mrs. V Walker , who was assigned a lease of a one bedroom flat in Cheltenham in October 2000. We are asked if we could estimate the premium could be to extend the lease by a further 90 years. Comparable properties in Cheltenham with 100 year plus lease were worth £198,400. The mid-range ground rent payable was £65 billed every twelve months. The lease finished in 2085. Taking into account 59 years remaining we calculated the premium to the landlord for the lease extension to be within £21,900 and £25,200 exclusive of expenses.

Cheltenham case:

In 2013 we were approached by Mr Mason Rose who, having took over the lease of a ground floor flat in Cheltenham in April 1998. The dilemma was if we could approximate the compensation to the landlord would be for a 90 year extension to my lease. Identical residencies in Cheltenham with 100 year plus lease were worth £255,000. The mid-range ground rent payable was £50 invoiced quarterly. The lease terminated on 1 September 2096. Having 70 years remaining we estimated the compensation to the freeholder for the lease extension to be within £9,500 and £11,000 exclusive of professional charges.