Buying a flat with an 86 year lease

Davidbrentssister

Hello, I'm hoping to buy a property. I've seen a flat which has been on the market since July which is unusual where i live. Most flats seem to sell in 2 or 3 months.

There are a couple of things worrying me. One is the EPC rating is F. The certificate recommends cavity wall and loft insulation, convection heaters and new boiler.

The other is there's 86 years on the lease. Would this put you off buying it?

AdrianC

Below 80 years remaining, mortgages become difficult, and the renewal price climbs due to "marriage value".

This will give you an idea of the cost to renew the lease through the statutory route. Your freeholder may give you a different figure to renew through mutual agreement, but remember that the statutory route includes peppercorn ground rent.
https://www.lease-advice.org/calculator/

Tom99

[FONT=Verdana, sans-serif]86 years is ok, you can extend it after 2 years or you can ask the vendor to serve a lease extension notice now and assign it to you to pay for and complete.[/FONT]

Cakeguts

If it has been on the market since July it is probably also overpriced.

Davidbrentssister

Thanks for the replies. I had a look at the calculator and it estimate 10-13k to renew the lease plus legal fees.

The flat has been reduced by 10k already. It's slightly outside the area i was looking at and there aren't flats in the village so havent got much to compare it to for price.

csgohan4

I would get it heavily discounted or find something else.

cloo

If you buy it, get a lease extension as you buy - the purchaser of our last flat did that when we sold with 92 years left on lease.

eddddy

Davidbrentssister wrote: »

There are a couple of things worrying me. One is the EPC rating is F. The certificate recommends cavity wall and loft insulation, convection heaters and new boiler.

Loft insulation is relatively cheap and easy to install - assuming that you have access to the roof space.

Cavity wall insulation would have to be done by the freeholder, and I wouldn't bank on that happening.

What sort of heating does the flat have at the moment? You mention a new boiler - is there a gas supply and central heating at the moment?

Davidbrentssister

Thank you for the replies. You can access the loft from the flat.

There is no mains gas supply to the flat. It currently has storage heaters.

Tom99

Davidbrentssister wrote: »

Thank you for the replies. You can access the loft from the flat.

There is no mains gas supply to the flat. It currently has storage heaters.

Check if the loft is included in the demise of the flat, often they are not. That won't stop you insulating it but might stop you using it for other purposes.