Leaseholder Services

Because leasehold properties are subject to long-term agreements, owners do not always think about the legal options that can enable them to make the most of their property investment, or that they may need when a lease expires.

JMW's expert team of residential real estate solicitors provides a range of leaseholder services to help those who own a leasehold property with everything from extending or purchasing the lease, to resolving disputes about ground rent and service charges. We specialise in a range of property services, and can help you to consider the full implications of any decisions thanks to our nuanced understanding of how leasehold properties differ from freehold properties.

For more information about the leaseholder services we offer, get in touch with our team today. We will discuss your needs and the options available to you. Call JMW on 0345 872 6666 or, if you would prefer for us to contact you, leave your details via our online enquiry form.

How JMW Can Help

The team at JMW has vast experience in advising and working alongside leaseholders, and offers a variety of legal services to make sure you can take advantage of the opportunities that owning a leasehold property brings.

With many years' experience working alongside and assisting leaseholders, we are perfectly placed to deal with requests and issues related to lease extensions, leasehold enfranchisement and related needs. Our specialist solicitors offer wide-ranging advice and services to leaseholders on the following issues:

• Leasehold enfranchisement
• Lease extensions
• Ground rent and service charges
• Subletting queries
• Remortgaging

If you are a leaseholder and have any other questions regarding your lease or rights and responsibilities, our specialists will do everything they can to inform you of your options. We are renowned for a proactive and professional approach that always places the best interests of our clients first. We will provide guidance throughout your dealings with us and offer the support you need, when you need it. 

Meet Our Team

JMW's experts offer leaseholder services to help property owners make the most of their investment. Our knowledge of legal agreements and the law governing leasehold properties means we can offer support that is tailored to your specific needs.

How Is a Leasehold Property Different from a Freehold Property?

Owning a leasehold property differs greatly from owning a freehold property because the property can only be 'owned' for a specified amount of time, while the land on which it is built is still owned by the landlord or 'freeholder'.

The legal contract between the leaseholder and the freeholder is called the lease, and it may last anywhere from a couple of years to 999 years. The document itself sets out the rights and responsibilities of both parties, which will typically include:

• The amount of ground rent payable
• How service charges are calculated and paid
• If and how service charges may change
• Who has responsibility for any repairs
• Who is responsible for arranging and paying buildings insurance

It is important to understand the division of these responsibilities to fully protect your investment. For example, the leaseholder will need to pay for their own contents insurance even when buildings insurance payments are covered by the freeholder. JMW will examine your contract and advise you of the obligations it specifies, along with the rights you are guaranteed by law, to help you maintain and occupy your property in line with your legal and contractual responsibilities.

When Do I Need Legal Advice as a Leasehold Owner?

Leaseholders may need legal advice and services in a range of circumstances, from the practical considerations of renewing a lease to the opportunities offered by leasehold enfranchisement, through which you can purchase the freehold.

Our team can help you in cases where the lease wording is unclear, or where you want to alter, sublet or sell and need to know exactly what the lease permits. We will also represent you to challenge excess costs where a landlord is charging high administration fees or service charges. If you need to dispute major works or a landlord's consent for alterations, contact JMW for advice.

We offer the following leaseholder services: 

UK leasehold enfranchisement

Leasehold enfranchisement involves purchasing the freehold of your property, whether of a property you already own, or as part of the purchase of a new property. If you are interested, our legal team will begin by assessing your eligibility for leasehold enfranchisement. From there, we will guide you through the process of obtaining a professional property valuation to estimate the cost of the freehold purchase.

You will need to send 'Initial Notice' (Section 13 Notice) to the freeholder, formally expressing your intent to buy the freehold. Our leasehold solicitors draft and prepare this notice on your behalf. If the freeholder responds positively, our team will represent you in negotiations to agree on the purchase price and other relevant terms. Once these terms are agreed, we will draft a formal contract and complete the transaction. Completion occurs with the successful transfer of the freehold, and your solicitor will then register the change with HM Land Registry.

Lease extensions

If you wish to extend a lease, JMW will first review the terms of your current lease to determine its remaining duration and advise on the necessity of an extension. If an extension is needed, we will obtain a valuation to estimate the cost of the extension, and then draft and serve a 'Section 42 Notice' to your landlord to formally request the lease extension.

We negotiate with the landlord on your behalf if there is any dispute over the cost or other terms, and once these are agreed between the parties, we will finalise the new lease agreement that sets the revised terms down in law.

Advice on ground rent and service charges

Our team will review your lease agreement to understand the terms for ground rent and service charges. We will then provide clear advice about your obligations and rights regarding these charges, and any potential issues you may face. In the event of disputes over ground rent or service charges, we will negotiate on your behalf or represent you in legal proceedings to reach a fair resolution.

Subletting queries

If you wish to sublet the property, JMW will assess the terms of your lease to understand its rules regarding subletting, and offer guidance about your rights and responsibilities. If subletting is not forbidden by the lease and you choose to sublet your property, we can help draft the subletting agreement to protect your interests. Alternatively, we can negotiate with the freeholder on your behalf in cases where you need their consent to sublet the property.

Remortgaging

Remortgaging is a good way to save money when a fixed rate period ends, but the considerations are different for leasehold properties. JMW will start by assessing your lease and the terms of your current mortgage to identify any potential issues based on your position as a leaseholder. Following a discussion of your financial situation and your reasons for remortgaging, we deliver tailored advice to help you achieve your goals.

If you choose to remortgage, our team will liaise with your new mortgage lender, responding to their queries and addressing any concerns about the lease. Finally, we will handle the legal side of the remortgage and any conveyancing process that is necessary, and liaise between you and the lender to facilitate a smooth transition.

What Restrictions Do Leaseholders Face?

Compared with a freeholder, a leaseholder is usually more restricted because they own the property for a fixed term and must comply with the lease’s covenants. Common areas where a leaseholder may face restrictions and need support from a solicitor are:

• Alterations and improvements: Leaseholders often need the landlord’s written consent for structural works, layout changes, windows, flooring or sometimes even internal alterations. Because freeholders usually have much more freedom (aside from needing planning permission in some cases), it may be worth considering leasehold enfranchisement in these situations.
• Subletting and use of the property: A lease may ban subletting entirely, require consent or restrict certain short-term letting. Leaseholders may also be limited to using the property only as a private home, which can restrict your ability to run a business or holiday let from the property.
• Service charges, insurance and management fees: Leaseholders have to pay service charges, administration fees and must sometimes contribute to buildings insurance arranged by the landlord or manager. It is important to note that you can raise a dispute over reasonableness, consultation or recoverability, and you should seek legal advice if you have concerns in this area.
• Selling, remortgaging, extending the lease or buying the freehold: Leasehold sales often require extra landlord/managing-agent information, and short leases can affect value and mortgageability. You will need a solicitor to review the lease, advise on extension rights, enfranchisement and sale paperwork.

If you are considering a lease extension, buying the freehold, or have concerns about any of the restrictions listed above, speak to the team at JMW for legal advice that is applicable to your specific situation.