Chances are that if you own a flat in Ventnor you actually own a long leasehold interest over your property
It is generally accepted that a residential leasehold with over one hundred years remaining is worth roughly the same as a freehold. Where an additional 90 years added to all but the shortest lease, the residence will be worth the same as a freehold for decades to come.
| Lender | Requirement |
|---|---|
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Godiva Mortgages | 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. |
| Lloyds TSB Scotland | Minimum 70 years from the date 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. |
The lawyers that we work with undertake Ventnor lease extensions and help protect your position. A lease extension can be arranged to be completed to coincide with a change of ownership so the costs of the lease extension are paid for using part of the sale proceeds. You really do need expert legal advice in this difficult and technical area of law. The conveyancer we work with provide it.
Following lengthy negotiations with the freeholder of her studio flat in Ventnor, Lucy initiated the lease extension process just as her lease was nearing the critical eighty-year deadline. The legal work completed in January 2005. The freeholder’s costs were kept to an absolute minimum.
Last Autumn we were contacted by Mr and Mrs. I Taylor , who moved into a studio apartment in Ventnor in September 2011. We are asked if we could estimate the price would likely be to extend the lease by an additional years. Comparative homes in Ventnor with a long lease were in the region of £265,000. The average ground rent payable was £55 billed every twelve months. The lease elapsed on 22 November 2099. Taking into account 74 years remaining we approximated the compensation to the freeholder for the lease extension to be within £9,500 and £11,000 exclusive of costs.
In 2013 we were e-mailed by Mr T Lefèvre who, having took over the lease of a first floor apartment in Ventnor in June 2012. The dilemma was if we could shed any light on how much (roughly) price could be to extend the lease by an additional years. Identical flats in Ventnor with an extended lease were valued around £166,400. The average ground rent payable was £60 invoiced every twelve months. The lease ended on 11 July 2079. Taking into account 54 years outstanding we approximated the premium to the landlord to extend the lease to be within £32,300 and £37,400 not including fees.