Waltham Forest Lease Extension

Linz Darlington | April 2024

We offer an end-to-end service where we will oversee your lease extension from start to finish. We use the Leasehold Reform Housing and Urban Development Act 1993 which allows you to extend your lease by 90 years and reduce your ground rent to zero. We achieve this with the support of our in-house firm of solicitors, Leasehold Legal Services (LLS).

It does not matter if you live in a period conversion like those found on Maple Road or Buckland Road, or in a purpose built flat like the ones on The Ridgeway, Essex Road, the South Warner Estate or the Leyton Grange Estate. In each case you can do a lease extension, and we are here to help.

Under the Housing Act 1988, Waltham Forest transferred its redeveloped estates to a Community-based Housing Trust.  The remaining Council housing in the borough is now managed by an arms-length management organisation, Waltham Forest Housing, which we have experience dealing with.

Who can extend their lease in Waltham Forest?

If you own a flat in any of the main areas of the London Borough of Waltham Forest (including Chingford, Walthamstow, Leyton and Leytonstone), you may well want to extend your lease and you will almost certainly be entitled to do so.

However, if you own your home through a shared ownership scheme (sometimes called ‘part buy part rent’), you will have to wait until you have bought a hundred percent share of your flat before you can extend the lease.

You can only exercise your right to extend your lease after you have owned your flat for two years.

What does a lease extension cost?

Three main factors affect what you pay for your lease extension, known as the ‘premium’:

  • The market value of your flat (on the day it is valued)
  • How much ground rent you pay, including how often and by how much it rises
  • Lease length as at the time of the extension.

With leases shorter than 80 years or where you pay a high ground rent, your premium is likely to be high. However, this is less unlikely if you own an ex-local authority flat: most of these flats were leased in the 1980s with 125-year leases and modest £10 annual ground rents.  Most cases of short leases and high ground rents occur with private freeholders.

Usually, a significant chunk of your premium will be derived from the value of your flat. At the time of writing the average value of a flat in Waltham Forest according to Rightmove, is £558,407, but this can vary wildly. When we do our valuation, we will be able to give you a concrete valuation for your specific case.

What’s the process?

Homehold is unusual because we will handle your lease extension from start to finish. This includes the valuation and negotiation that will be done by our in-house valuers. It also includes the legal parts of the process including serving legal notice to your freeholder and conveyancing your new lease. This will be handled by Leasehold Legal Services, which is our own subsidiary law firm. They are authorised and regulated by the Solicitors Regulation Authority.

Stage 1: Preparation and Valuation

Our subsidiary firm of lease extension solicitors will do a review of the legal documents relating to your flat. This includes your lease, title plan and title register.

Once this has been completed, they will brief our team of in-house valuers who will use a variety of data points to establish the value of your property and estimate the overall lease extension premium.

Stage 2: Notice Serving and Negotiation

Once your property has been valued, our in-house lease extension solicitors will initiate the legal process by serving your freeholder a ‘Section 42 Notice’.

This makes an initial offer of what you are prepared to pay for your lease extension and gives your freeholder two months to respond with their ‘Counter Notice’ which almost certainly will include a higher counteroffer for the premium.  

It is the job of our valuation team to work with your freeholder’s valuer and negotiate a fair price for your lease extension, based on the evidence we collected in Stage 1.

At Homehold  we are committed to getting a good price for our leaseholder clients, and those in Waltham Forest are no exception.

Stage 3: Conveyancing and Completion

After the premium details have been agreed, our in-house lease extension solicitors will review the documents prepared by the freeholder’s legal team. We will make sure your new lease includes what has been negotiated.

Once the solicitors are happy with the paperwork, they will conclude the deal and organise for the lease extension to be registered at the Land Registry. Which means that your lease has been extended by 90 years and ground rent has been reduced to nil.

How much does Homehold charge?

Our fee is a fixed fee of £2,400+VAT, which is broken into three equal payments of £800+VAT.

This includes any incidental costs such as Land Registry fees.

Why use Homehold for your lease extension?

We have done a wide variety of lease extensions in Waltham Forest and will look after your case from start to finish.

Hear it from another flat owner in Waltham Forest

Brilliant transparent communication. Homehold made it very clear what to expect at each stage, and provided documentation with clear reasoning behind their decision making process. Very easy to contact if we had any questions. If you want a company you can trust to do a great job so you don't need to worry about it: use Homehold!

Will Sewell

Start your lease extension in Waltham Forest today

Article author photo

Linz is the CEO and co-founder of Homehold. He’s always looking at how we can improve our service and better support you through the lease extension process. If you have any questions about your lease he’d be delighted to help.

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