Stop! Your Lease Extension in Thornton Heath Could Be FREE

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Many leaseholders in Thornton Heath 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 Thornton Heath 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 Thornton Heath lease extension

Main reasons to start your Thornton Heath lease extension today:

Increase your lease and increase your Thornton Heath property value

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

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

It is conventional wisdom that a property with more than one hundred years unexpired lease term is worth roughly the same as a freehold. Where an additional 90 years added to all but the shortest lease, the residence will be worth the same as a freehold for decades to come.

Lenders will not grant a mortgage on a short lease

The propensity since 2008 has been for lenders to tighten lending criteria generally - this has extended to the types of security over which the mortgage is to be charged. This has meant the minimum number of years remaining under the lease required by lenders has increased. Historically banks would grant a mortgage on a lease with twenty years plus the term of the loan - routinely fifty year leases but those requirements are being increasingly undermined by the requirement for longer and longer leases - many now have 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.
Bank of Scotland Minimum 70 years from the date of the mortgage.
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.
Halifax Minimum 70 years from the date 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.

What makes us experts in Thornton Heath lease extensions?

The conveyancing solicitors that we work with procure Thornton Heath 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.

Thornton Heath Lease Extension Example Cases:

Omar, Thornton Heath, Surrey

Last Christmas Omar, came very near to the 80-year threshold with the lease on his two bedroom flat in Thornton Heath. Having bought his property 19 years previously, the length of the lease was of minimal significance. Luckily, it dawned on him that he would imminently be paying way over the odds for a lease extension. Omar arranged for a lease extension just under the wire in June. Omar and the freeholder eventually agreed on an amount of £5,000 . If he not met the deadline, the sum would have escalated by at least £850.

Thornton Heath case:

Last Winter we were called by Dr J Jones , who completed a garden flat in Thornton Heath in July 2008. We are asked if we could estimate the compensation to the landlord would be to extend the lease by ninety years. Similar residencies in Thornton Heath with 100 year plus lease were in the region of £208,600. The average amount of ground rent was £60 billed yearly. The lease concluded on 16 May 2083. Having 57 years as a residual term we estimated the premium to the freeholder for the lease extension to be between £30,400 and £35,200 plus professional charges.

Decision in Croydon

An example of a Lease Extension decision for a Thornton Heath property is Ground Floor Flat 14 Lodge Road in October 2013. the tribunal held that the price payable for the acquisition of the extended lease of the property should be £12,590 .00 This case related to 1 flat. The number of years remaining on the existing lease(s) was 69.46 years.