Stop! Your Lease Extension in Mitcham Could Be FREE

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Many leaseholders in Mitcham 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 Mitcham 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 Mitcham lease extension

Main reasons to commence your Mitcham lease extension today:

Increase your lease and increase your Mitcham property value

On the balance of probabilities if you own a flat in Mitcham you actually own a long leasehold interest over your property

An extended lease has roughly the same value as a freehold

Leasehold premises in Mitcham with more than 100 years remaining on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease value the same as a freehold interest in your home. In such circumstances there is often little to be gained by purchasing the reversionary interest unless savings on ground rent and estate charges merit it.

Banks and Building Societies may not issue a mortgage on a short lease

Almost all banks and building societies require a lengthy amount of time remaining on a leasehold residence before they will consider providing a mortgage on it. Regardless of whether you need a mortgage, you should be mindful that it is reasonable to assume that someone wanting to buy your property in the future might well do, so if they can't get a mortgage, then the market price of the property will likely be adversely impacted. In the last decade many banks and building societies have increased the required minimum lease length that they are prepared to lend on

Lender Requirement
Barnsley Building Society 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term.
Halifax Minimum 70 years from the date of the mortgage.
Leeds Building Society 85 years remaining from the start of the mortgage.
Virgin 85 years at the time of completion. If it's less, we require it to be extended on or before completion.
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.

What makes us experts in Mitcham lease extensions?

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

Mitcham Lease Extension Example Cases:

Owen, Mitcham, South West London

During the course of the last few months Owen, came critically near to the 80-year threshold with the lease on his leasehold flat in Mitcham. In buying his flat two decades ago, the unexpired term was of no concern. by good luck, he noticed he would imminently be paying way over the odds for Extending the lease. Owen extended the lease just under the wire in March. Owen and the landlord in the end settled on a premium of £5,500 . If he had missed the deadline, the amount would have gone up by at least £950.

Mitcham case:

In 2010 we were called by Dr K Davies who, having moved into a one bedroom apartment in Mitcham in March 2000. The dilemma was if we could approximate the compensation to the landlord could be to extend the lease by a further 90 years. Similar residencies in Mitcham with an extended lease were in the region of £205,000. The mid-range amount of ground rent was £50 billed yearly. The lease ran out on 23 August 2105. Considering the 79 years as a residual term we calculated the compensation to the freeholder to extend the lease to be within £8,600 and £9,800 exclusive of legals.

Decision in Wandsworth

An example of a Freehold Enfranchisement matter before the tribunal for a Mitcham residence is 50 & 52 Southcroft Road in September 2013. The tribunals own valuation determined that the premium payable should be £29,000 This case related to 2 flats. The number of years remaining on the existing lease(s) was 86.11 and 60.64.