Homehold provides a seamless start-to-finish lease extension service, covering everything from valuation to the legal work. While the process of a lease extension is complex, our experienced team of surveyors and in-house solicitors ensure we deliver a smooth and stress-free experience.
Our team have completed several lease extensions in Barking and Dagenham, covering a wide range of properties. No matter if your flat is a modern purpose built flat in Becontree to a local-authority development in Dagenham, our team is ready to help you with your Barking & Dagenham Council lease extension.
Considering using Homehold for your lease extension in Barking & Dagenham?
Who can extend their lease in Barking and Dagenham?
Most leaseholders have a right to extend their lease under a 1993 Act known as the Leasehold Reform Housing and Urban Development Act. This includes flats with Barking and Dagenham council as their freeholder.
You will have to own 100% of your flat – shared ownership flats are not currently entitled to extend their lease under the Act. If you own a shared ownership flat you will need to ‘staircase’ your ownership to 100% before you can extend your lease.
The requirement of owning your flat for two years was removed on 31 January 2025.
We have completed many lease extensions in Barking and Dagenham, from modern development flats in Becontree to ex-local authority flats in Dagenham East. Whatever type of flat you have, we can help you.
What is the cost of a lease extension?
The cost of your lease extension, known as the ‘premium,’ is made up of three elements:
- The long lease value. This is the value of your flat as though it sold with a really long lease
- The amount of ground rent you pay. This includes any future increases
- The term. This is the number of years left on your lease
Flats under 80 years must pay an additional cost known as ‘marriage value,’ which increases the cost of your lease extension considerably. Where Barking and Dagenham Council are your freeholder, it is likely your lease is fairly close to the 80 year mark - although crucially above 80 years. This is because the majority were lease for 125 years in the mid-1980s onwards.
According to Rightmove, the average price of a flat sold in Barking and Dagenham during the last year was £232,740 (at the time of writing!). Our valuers have plenty of experience in Barking and Dagenham, and we have valued everything from an ex-Local Authority flat in Dagenham East to a modern purpose-built flat in Becontree. Wherever your flat is within the borough, we can assist.
Please note that under the legislation you will have to cover both your own legal fees and the freeholder’s legal fees.
What’s the process?
Homehold offers a unique end-to-end service that takes all the stress of project management out of your lease extension. All the necessary valuation and legal work are included. The legal work is carried out by our SRA regulated subsidiary law firm, Leasehold Legal Services.
Our process consists of three stages:
Stage One
The specialist solicitors at Leasehold Legal Services review your lease and the legal titles connected to your flat. This way we can make sure we have everything ready for your lease extension, and make sure there’s nothing missing that could negatively affect the process.
Your case then passes over to our team of dedicated valuers, who conduct a valuation of your flat. This is based on assessing comparable sales in your area. For instance, if your flat is a one-bed flat in a modern development in Creekmouth, our valuation team will consider similar sized sized purpose-built within that locality. If your flat is a period conversion in Chadwell Heath, we would look for similar conversions nearby.
A detailed valuation report is then sent to you, which outlines what we think the fair premium for your flat will be, and what our ‘opening’ offer should be. The offer will be on the low side to start negotiations on a good footing.
Stage Two
Once you are happy with our valuation, Leasehold Legal Services will serve an official notice called a “Section 42” containing our ‘opening’ offer.
Your freeholder has two months to serve a counter-notice called a “Section 45”. In the notice they will commonly include a much higher figure – usually with the intent to meet somewhere in the middle between our figures.
Barking and Dagenham Council tend to be more sensible with their counteroffer than private freeholders, as the latter are often profit motivated.
At this point we have a six-month window to agree a fair premium for your lease extension. We negotiate by swapping comparable evidence to support our respective positions. Our aim is to get the best possible price for your lease extension.
Stage Three
When we’ve reached a premium that you are happy with, you lease extension passes back to the solicitors.
Your freeholder’s solicitor will send a draft lease, containing the terms of your lease extension. This includes your statutory additional 90 years and peppercorn ground rent (£0), and mostly keeps the rest of the lease the same. Sometimes they try and amend terms. Where this is the case LLS will discuss these with you.
Barking and Dagenham local authority have inhouse solicitors, making the cost of your lease extension cheaper than a private freeholder. Private freeholders tend to use a corporate solicitors, who charge a higher fee.
What much does Homehold charge?
Homehold charges a straight-forward and fixed fee of £2,580+VAT, which includes services provided by Leasehold Legal Services. This is charged in three instalments of £860+VAT.
The fee covers our entire end-to-end service, from instruction to completion and registration at the Land Registry.
Hear it from another flat owner in Barking & Dagenham
Homehold have done a really professional, thorough and friendly job on our lease extension. They explained everything in clear detail every step of the way and made the process as painless as possible. They are great at communicating updates verbally and via email and we felt well looked after all the way. Highly recommended
Richard
