Stop! Your Lease Extension in Stretton Could Be FREE

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Many leaseholders in Stretton 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 Stretton 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.

Why you should commence your Stretton lease extension

Top reasons for lease extension now:

A Stretton lease depreciates with the years remaining on the lease.

Stretton leases on residential properties are gradually losing value. The shorter the remaining lease term becomes, the less it is worth – and as a result any extension of the lease becomes more expensive. Legislation has been in place for sometime now which permits qualifying Stretton residential leaseholders to extend the terms of long leases. If you are a leasehold owner in Stretton you really ought to see if your lease has between seventy and ninety years left. There are compelling reasons why a Stretton flat owner with a lease having around eighty years remaining should take action to make sure that a lease extension is effected without delay

Stretton property with a lease extension has roughly the same value as a freehold

It is conventional wisdom that a residential leasehold with more than 100 years unexpired lease term is worth roughly the equivalent as a freehold. Where an further 90 years added to any lease with more than 30 years unexpired, the residence will be worth the same as a freehold for many years in the future.

Banks and Building Societies will not grant a mortgage on a short lease

Whether or not the lease is be regarded as a short lease depends on the specific mortgage company, yet banks and building societies start to become jittery at around 75 years. This will cause difficulties as and when you come to sell or remortgage your flat as it will be effectively unmortgageable. Even though you might not have an imminent desire to sell but when you do your purchaser will need to wait two years before they can commence the legal procedures for a lease extension.

Lender Requirement
Bank of Scotland Minimum 70 years from the date of the mortgage.
Barnsley Building Society 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term.
Godiva Mortgages 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.
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.

Yorkshire 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.

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

Engaging our service will provide you enhanced control over the value of your Stretton leasehold, as your property will be more valuable and saleable in relation to the lease length should you want to sell. The conveyancing solicitors that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.

Stretton Lease Extension Example Cases:

Jade, Stretton, Staffordshire,

After protracted negotiations with the freeholder of her purpose-built flat in Stretton, Jade commenced the lease extension process just as the lease was nearing the all-important eighty-year deadline. The lease extension was concluded in March 2010. The landlord’s costs were kept to an absolute minimum.

Stretton case:

Mr and Mrs. A Michel took over the lease of a studio flat in Stretton in June 2001. We are asked if we could shed any light on how much (approximately) price would be for a 90 year lease extension. Comparable residencies in Stretton with 100 year plus lease were valued about £176,200. The average amount of ground rent was £65 billed monthly. The lease elapsed on 1 November 2082. Having 56 years left we calculated the compensation to the freeholder for the lease extension to be between £29,500 and £34,000 not including professional charges.

Stretton case:

In 2010 we were approached by Dr Henry Jones who, having completed a basement flat in Stretton in March 2012. The dilemma was if we could estimate the price would likely be for a 90 year extension to my lease. Comparable residencies in Stretton with an extended lease were in the region of £242,600. The average amount of ground rent was £45 billed yearly. The lease ended in 2093. Having 67 years remaining we approximated the compensation to the landlord for the lease extension to be between £11,400 and £13,200 exclusive of fees.