Newham Lease Extension

Mo Miah | July 2024

We are a group of leasehold extension solicitors and leasehold valuers who can help with your leasehold extension needs in the London Borough of Newham. 

At Homehold we offer an end-to-end service where we take care of your lease extension from start to finish. We do this under the provisions of  the Leasehold Reform Housing and Urban Development Act of 1993. Our service includes all the legal, valuation, negotiation and conveyancing work you need – the legal and conveyancing work is done by our in-house firm of solicitors, Leasehold Legal Services.

At the end of the process, your lease will be extended by 90 and your ground rent, if you pay one will be reduced to £0.

Newham is one of the London boroughs that our team find themselves working in consistently. Wherever you are in the borough from North Woolwich to Stratford, West Ham to Manor Park, Plaistow to Beckton we can help. We have completed lease extensions with the Newham Council and with large and smaller freeholders too.

We have also completed lease extension for different kinds of flats, be it period conversions like the ones found on Victoria Avenue in East Ham or purpose-built split-level flats like the ones found on Dimond Close in Forest Gate and laterally arranged purpose-built flats like the ones that can be found in Burford Wharf Apartments in Stratford. You can be rest assured that no matter the circumstances we have got you covered

Who can extend their lease in the London Borough of Newham?

As long as you own a flat in the Newham, you are  probably eligible for a lease extension. However, there are two reasons why you might not be eligible;

  • You have owned your flat for less than two years,
  • If you purchased your flat under a shared ownership scheme, and you have not purchased a hundred percent share in your flat. You will not be eligible and will have to wait when you have purchased all the shares in your flat.

How much does a lease extension cost?

The price (known as the “premium”) you pay is largely dependent on three things;

  • The long lease value of your flat.
  • Your ground rent and how much it increases and how often, and
  • The number of years left on your lease.

Flats owned by private landlords frequently have high ground rents, with periodic increases and short leases. Therefore, in our experience are more expensive to get an extension on. On the flip side, flats with council freeholders are likely to have been leased with low ground rent and a long lease making them cheaper in comparison to get an extension on.

According to Rightmove, the average price of flats in Newham over the last year is £421,004 (at the time of writing this article) but this can vary widely, from period conversions by private freeholders to purpose-built council flats. 

What’s the process?

We are a one-stop-shop for all things lease extension, so you are not having to instruct separate solicitors and surveyors - which is usually the way. In that look after your lease extension from start to finish, including the legal and valuation work.

The legal work is carried out by our team of in-house solicitors – Leasehold Legal Services (LLS) – which is fully authorised and regulated by the Solicitors Regulation Authority.

Stage 1: Preparation and Valuation

Leasehold Legal Services will get all the paperwork associated with your flat and the block or development that your flat is in from the Land Registry and review it. This is done to make sure that we have everything we need for your lease extension while giving us a clear and complete picture of your property and making sure there are no surprises later in the process.

The valuation team will be briefed by the solicitors, who will then do a valuation to estimate your premium. After this has been done, we will send over a detailed report which contains the basis of our valuation and informs you a range you should be prepared to pay as premium.

Stage 2: Notice Serving and Negotiation

This stage will be handled by LLS, who will make an offer to your freeholder by serving them a notice called the ‘Section 42’.

After the Section 42 has been sent to your freeholder, they have two months to respond to this notice, if the premium is accepted or not. If it is not, they will include a counteroffer of what they want to you to pay.

You will be contacted by one of the team at Homehold to commence negotiations, using the evidence included in the report we prepared. We will negotiate until you are happy with the price, no matter how long it takes and at no extra charge.

Stage 3: Conveyancing and Completion.

After the premium has been agreed, the solicitors at LLS take over to look at the details of what has been agreed. Your freeholder will send over the amended lease to LLS who will look through to make sure that the only changes to your lease are-the term has been extended by 90 years and your ground rent is set to zero pounds.

Once this has been looked through and is satisfactory, your lease extension is ready to be registered at the Land Registry, which is also included in our process.

What do Homehold charge?

We charge a fixed fee of £2,400+VAT, which is paid in three equal instalments of £800+VAT.

This fee includes all legal work done by LLS, which is regulated by the Solicitors Regulation Authority.

Why use Homehold for your lease extension?

Once you instruct us at Homehold, you can be rest assured that your lease extension is in good hands.

Hear it from another flat owner in Newham

Fantastic service from Homehold and LLS. My lease extension dragged on and on due to lack of response from freeholder/freeholder's solicitor. The staff at HH and LLS managed the process very well, giving regular weekly updates and taking advice from another law firm when the lease extension passed the initial deadline. It was an expensive process for me due to my lease being (well) below 80 years.

Anna - Newham

Start your lease extension in Newham today

Article author photo

Mo is one of our valuation team at Homehold. He is passionate about ensuring that leaseholders get a fair price on their lease extensions. Mo has been working in London property for his entire career, and he is particularly well versed in Local Authority and Housing Association stock.

Start today with a free consultation

Book a time at your convenience to talk about your lease extension.