68 yrs lease and mortgage possible?

always_sunny

How practical is to get a FTB mortgage on a flat with 68 yrs left on the lease?
The vendor already has a quote and I can factor that in the offer, though what would be the logistics involved?

Them extending before the mortgage application? Exchange? Etc?

Life is to short

HappyMJ

always_sunny wrote: »

How practical is to get a FTB mortgage on a flat with 68 yrs left on the lease?
The vendor already has a quote and I can factor that in the offer, though what would be the logistics involved?

Them extending before the mortgage application? Exchange? Etc?

Life is to short

Make sure you value the property taking into account the remaining term and any costs to extend the lease.

It's possible to purchase the property with a mortgage with a term of 68 years remaining. You will need a broker to help you as some require 70 or more years remaining.

Once you're in then you can extend the term.

You could end with quite a bargain if you can negotiate the price right down.

You will need to borrow more initially so you can hold on to your deposit to extend the lease. Borrowing more will require you to take out a less competitive mortgage at a higher interest rate. Make sure you factor that in too.