Stop! Your Lease Extension in Mossley Hill Could Be FREE

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Many leaseholders in Mossley Hill 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 Mossley Hill 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 Mossley Hill lease extension

Why you should start your Mossley Hill lease extension today:

A Mossley Hill lease depreciates with the years remaining on the lease.

The market value of a leasehold property in Mossley Hill depends on how many years the lease has left to run. If it is close to or less than 80 years you should foresee problems on re-sale, so it is advisable to arrange for a lease extension prior to buying. It is preferable to start the lease extension process when the lease still has 82 years remaining so that a lease extension can be addressed well before the 80 year threshold. Statute enables Mossley Hill qualifying lessees to an additional term of 90 years on top of the remaining term, at a nominal rent (zero ground rent). The reason of the valuation is to arrive at an opinion of the sum payable by the lessee to the freeholder for the acquisition of the lease extension.

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

Leasehold properties in Mossley Hill with in excess of one hundred years remaining on the lease are sometimes referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your premises. In such situations there is often little upside in buying the freehold unless savings on ground rent and estate charges justify it.

Mortgage lenders will not grant a mortgage on a short lease

Almost all banks and building societies insist on a lengthy amount of time remaining on any leasehold property before they will contemplate providing a mortgage on it. Regardless of whether you need a mortgage, you should bear in mind that it is likely that someone wanting to acquire your property in the future might well do, so in the event that they can't get a mortgage, then the market price of the property could be adversely impacted. Since 2008 many banks and building societies have increased the required minimum lease length that they are willing to lend on

Lender Requirement
Barclays plc Leases with less than 70 years at the commencement of the mortgage are not acceptable.

Leases with fewer than 70 years should only be referred to the issuing office where the following scenario applies, as discretion may be applied subject to bank approval:

• Property is located in any of the following prestigious developments: Cadogan, Crown, Grosvenor, Howard de Walden, Portman or Wellcome Trust Estates in Central London AND
• The value of the property subject to the short remaining term is £500,000 or more AND
• The loan to value does not exceed 90% for purchases, 90% like for like re-mortgages, 80% for re-mortgages with any element of capital raising and 80% for existing Barclays mortgage borrowers applying for additional borrowing;
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.
Leeds Building Society 85 years remaining from the start of the mortgage.
TSB Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption.
Royal Bank of Scotland Mortgage term plus 30 years.

What makes us experts in Mossley Hill lease extensions?

Irrespective of whether you are a tenant or a freeholder in Mossley Hill,the lease extension lawyers that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Mossley Hill valuers.

Mossley Hill Lease Extension Case Summaries:

Sarah, Mossley Hill, Merseyside,

Subsequent to unsuccessful discussions with the landlord of her leasehold apartment in Mossley Hill, Sarah initiated the lease extension process just as her lease was coming close to the critical 80-year deadline. The transaction was concluded in April 2009. The freeholder’s charges were restricted to under five hundred GBP.

Mossley Hill case:

In 2014 we were approached by Mr W Fournier who, having was assigned a lease of a studio flat in Mossley Hill in May 2003. The question was if we could shed any light on how much (roughly) compensation to the landlord would be to prolong the lease by ninety years. Similar residencies in Mossley Hill with 100 year plus lease were in the region of £189,000. The mid-range ground rent payable was £55 collected annually. The lease termination date was on 4 June 2079. Considering the 53 years remaining we approximated the compensation to the freeholder for the lease extension to be between £28,500 and £33,000 exclusive of costs.

Mossley Hill case:

In 2009 we were phoned by Dr Logan Howard who, having completed a one bedroom flat in Mossley Hill in October 1995. The question was if we could estimate the compensation to the landlord would likely be to prolong the lease by an additional years. Comparative residencies in Mossley Hill with an extended lease were in the region of £290,000. The average amount of ground rent was £45 invoiced quarterly. The lease concluded in 2099. Taking into account 73 years outstanding we approximated the premium to the landlord to extend the lease to be within £9,500 and £11,000 not including fees.