Why you should start your Battle lease extension

Why you should start your Battle lease extension today:

A Battle lease depreciates with the years remaining on the lease.

Battle leases on residential properties are gradually diminishing in value. The shorter the remaining lease term becomes, the less it is worth – and accordingly any extension of the lease becomes more expensive. Legislation has been in place for sometime now allowing qualifying Battle residential leaseholders to extend the terms of long leases. Where you are a leasehold owner in Battle you should investigate if your lease has between 70 and ninety years left. In particular once the remaining lease term slips under eighty years, the cost of any lease extension sharply increases as part of the premium you will incur is what is known as a marriage value

Battle property with a lease extension is almost the same value as a freehold

It is conventional wisdom that a residential leasehold with in excess of one hundred years unexpired lease term is worth approximately the same as a freehold. Where an further 90 years added to any lease with more than 45 years left, the premises will be worth the same as a freehold for many years in the future.

Mortgage lenders may decide not to grant a mortgage on a short lease

The trend since 2008 has been for banks to tighten lending criteria generally - this has extended to the property over which the home loan is to be granted. This has meant the unexpired lease term required by banks has increased. In the past banks were content with twenty years plus the term of the loan - routinely fifty year leases but those requirements are being increasingly undermined by the requirement for longer and longer leases - many now have a minimum term of 75 years as a prerequisite.

Why use us for your lease extension in Battle?

Using our service will provide you increased control over the value of your Battle leasehold, as your property will be more valuable and saleable in relation to the lease length should you decide to sell. The lawyers that we work with have a in-depth market knowledge handling many hundreds of lease extensions or freehold purchase transactions.

Battle Lease Extension Example Cases:

Kian, Battle, East Sussex,

Kian was the the leasehold proprietor of a high value flat in Battle being marketed with a lease of just over sixty years left. Kian on an informal basis approached his freeholder being a well known London-based freehold company for a lease extension. The landlord indicated a willingness to extend the lease to 125 years subject to a new rent initially set at £100 per annum and increase every twenty five years thereafter. No ground rent would be due on a lease extension were Kian to invoke his statutory right. Kian procured expert advice and was able to make an informed judgement and deal with the matter and readily saleable.

Battle case:

Last Summer we were called by Ms W Nguyen , who moved into a basement apartment in Battle in May 2011. The question was if we could estimate the compensation to the landlord would be for a ninety year lease extension. Similar residencies in Battle with an extended lease were valued about £280,000. The mid-range ground rent payable was £45 invoiced annually. The lease came to a finish in 2095. Considering the 70 years remaining we estimated the compensation to the landlord to extend the lease to be within £12,400 and £14,200 exclusive of costs.

Battle case:

In 2014 we were approached by Dr Jake Taylor who, having purchased a basement apartment in Battle in November 1996. We are asked if we could estimate the premium would be for a 90 year extension to my lease. Comparative homes in Battle with a long lease were in the region of £223,400. The average amount of ground rent was £60 invoiced quarterly. The lease ended in 2084. Having 59 years left we calculated the premium to the freeholder to extend the lease to be between £27,600 and £31,800 exclusive of expenses.