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Mortgage - Ground Rent on leasehold
tommyvez
Posts: 1 Newbie
Hi All,
I'm at the final stages of completing my mortgage, it's a leasehold of 99 years, with the initial ground rent being £150 per annum (initially £200).
When I got the leasehold contract from the seller he is imposing doubling the ground rent every 20 years, so by the end of the lease the ground rent per annum is nearly £3200 (not told at the beginning obviously).:mad:
My solicitor contested this and said this is too steep. She imposed terms which he wasn't too compliant with so he reduce his terms to £150 per annum doubling every 20 years. Which is still quite excessive.
The property is worth £175,000 and is one bedroom house. My solicitor has been in contact and says this needs to be checked by the valuer. What are my chances of the valuation changing on the property due to the ground rent increments? Is there anything I can do if the valuation changes drastically? Also the mortgage is based on 30 years with a 20k deposit.
If anyone could shed any light that would be great
I'm at the final stages of completing my mortgage, it's a leasehold of 99 years, with the initial ground rent being £150 per annum (initially £200).
When I got the leasehold contract from the seller he is imposing doubling the ground rent every 20 years, so by the end of the lease the ground rent per annum is nearly £3200 (not told at the beginning obviously).:mad:
My solicitor contested this and said this is too steep. She imposed terms which he wasn't too compliant with so he reduce his terms to £150 per annum doubling every 20 years. Which is still quite excessive.
The property is worth £175,000 and is one bedroom house. My solicitor has been in contact and says this needs to be checked by the valuer. What are my chances of the valuation changing on the property due to the ground rent increments? Is there anything I can do if the valuation changes drastically? Also the mortgage is based on 30 years with a 20k deposit.
If anyone could shed any light that would be great
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