Stop! Your Lease Extension in Upper Norwood Could Be FREE

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Many leaseholders in Upper Norwood 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 Upper Norwood 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 Upper Norwood lease extension

Top reasons for lease extension now:

Increase your lease and increase your Upper Norwood property value

The value of Upper Norwood leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The cost of a lease extension can escalate significantly once the remaining term is less than 80 years

An extended lease is almost the same value as a freehold

Leasehold properties in Upper Norwood with in excess of one hundred years left on the lease are often 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 to be gained by buying the freehold unless savings on ground rent and service charges merit it.

Lending institutions may decide not to lend 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 nervous at around 75 years. This may be problematic once you need to dispose of or refinance your property as it will be effectively unmortgageable. You may have no imminent intention to sell but when you do your purchaser will have to hold off for a couple of years before being able to commence the legal procedures for a lease extension.

Lender Requirement
Bank of Scotland Minimum 70 years from the date of the mortgage.
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;
Birmingham Midshires Minimum 70 years from the date of the mortgage.
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.

What makes us experts in Upper Norwood lease extensions?

Regardless of whether you are a tenant or a freeholder in Upper Norwood,the lease extension experts that we work with will always be willing to discuss any residential leasehold matters and offer you the benefit of their experience and the close ties they enjoy with Upper Norwood valuers.

Upper Norwood Lease Extension Example Cases:

Lauren, Upper Norwood, South London,

Subsequent to protracted discussions with the freeholder of her two bedroom flat in Upper Norwood, Lauren initiated the lease extension process as the 80 year threshold was quickly nearing. The lease extension was finalised in June 2006. The freeholder’s costs were restricted to about 500 GBP.

Upper Norwood case:

Mr and Mrs. D Johnson acquired a one bedroom flat in Upper Norwood in April 2011. We are asked if we could approximate the compensation to the landlord could be for a 90 year lease extension. Identical properties in Upper Norwood with 100 year plus lease were in the region of £210,000. The average ground rent payable was £50 invoiced monthly. The lease terminated in 2106. Having 80 years as a residual term we estimated the premium to the landlord to extend the lease to be within £8,600 and £9,800 not including fees.

Decision in Bromley

An example of a Lease Extension case for a Upper Norwood premises is Flats 55, 67 & 70 Melbourne Court Anerley Road in July 2013. The tribunal calculated that the premium for the extended lease at £48,366.00 for at 55, and £88,329.00 for ats 67 and 70 combined. This case related to 1 flat. The unexpired term was 26.38 years.