Havant residential property held on a long lease is a depreciating asset as the leaseholder only owns the property for a set term.
Leasehold properties in Havant with in excess of 100 years outstanding on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your home. In such situations there is often little to be gained by buying the reversionary interest unless savings on ground rent and service charges justify it.
| Lender | Requirement |
|---|---|
| Coventry Building Society | A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion. |
| Halifax | Minimum 70 years from the date of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must be at least 30 years plus the term of the mortgage at the outset of the mortgage. |
| Skipton Building Society | 85 years from the date of completion of the mortgage For Buy to Let cases: - lettings must not breach any of the lessee’s covenants; and - consent of the lessor to lettings must be obtained if necessary |
| Virgin | 85 years at the time of completion. If it's less, we require it to be extended on or before completion. |
Regardless of whether you are a tenant or a freeholder in Havant,the lease extension lawyers that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Havant valuers.
In the wake of eight months of protracted negotiations with the freeholder of her first floor flat in Havant, Samantha commenced the lease extension process just as the lease was coming close to the all-important 80-year threshold. The legal work was concluded in June 2009. The freeholder’s fees were kept to an absolute minimum.
Mr B Hill was assigned a lease of a recently refurbished flat in Havant in April 1996. We are asked if we could shed any light on how much (approximately) premium could be for a ninety year lease extension. Identical homes in Havant with an extended lease were in the region of £285,000. The average amount of ground rent was £55 invoiced monthly. The lease expired in 2105. Taking into account 79 years remaining we estimated the premium to the landlord for the lease extension to be between £13,300 and £15,400 not including costs.
Last Winter we were contacted by Mrs T Nelson , who owned a purpose-built apartment in Havant in June 1999. The question was if we could estimate the premium could be to prolong the lease by an additional years. Identical flats in Havant with 100 year plus lease were worth £193,400. The mid-range amount of ground rent was £65 collected monthly. The lease elapsed on 16 March 2085. Considering the 59 years remaining we approximated the compensation to the freeholder for the lease extension to be within £21,900 and £25,200 exclusive of fees.