Findings over leasehold issues are welcomed

A councillor who strives to improve housing has welcomed the findings of a report which calls for a change to make it easier for householders to sell their home.

Councillor Michael Dixon, housing spokesman the city’s Conservative councillors and ward member for St Michael’s, has welcomed the findings of the Law Commission over the policy for leasehold properties.

Last year the Government announced it would ban the sale of houses on a leasehold basis, as well as developers from selling leases containing an obligation to pay any money as a ground rent.

Now the Law Commission, which advises ministers, suggested existing leaseholders should have the right to a lease extension for a term of 990 years instead 90 and 50 years under existing law.

It has recommended there should be no ongoing ground rent under the extended lease and landlords should not be able to use the lease extension process to impose new obligations.

Coun Dixon said: “In my time as residential surveyor working throughout the region, I saw countless examples of leaseholders of mainly newer builds with 99-year terms from construction, having as their best option, to buy the freehold in order to be able to sell their properties some years later.

"The same applied if they wanted to re-mortgage their property by changing lender.

"But it got more difficult over time as buyers would be legally advised, as matter of course, that they would be inheriting the problem when they came to sell-on themselves.

"But there seems to be a will for change in Government, so I really hope these recommendations are given very serious consideration.”