Expiring mortgage, lease extension and staircasing
Akustik
Posts: 17
Forumite
I need advice on how to proceed with my current situation and it's a bit complicated to explain...
At the moment, I own a 25% share of a shared ownership (housing association) flat.
My fixed term mortgage is about to expire at the end of the month.
I want to staircase to 100% and extend my lease which currently has 60-61 years left.
The housing association has recently introduced changes to the informal procedure for extending the lease and they are as follows:
There are so many questions that I'm unsure about:
P.S. Not sure if this is the right sub-forum, but the question encompasses several fields, so couldn't decide
At the moment, I own a 25% share of a shared ownership (housing association) flat.
My fixed term mortgage is about to expire at the end of the month.
I want to staircase to 100% and extend my lease which currently has 60-61 years left.
The housing association has recently introduced changes to the informal procedure for extending the lease and they are as follows:
- 990-year lease extension term
- Marriage value will no longer be applicable when calculating the lease extension premium for Shared Ownership leaseholders (MV is still applicable for all 100% leaseholders)
- Ground rent reduced to peppercorn
- Lease extension premium based on equity share owned by shared owner
There are so many questions that I'm unsure about:
- Should I schedule a valuation survey before renewing the mortgage as I think the prices of flats in my area have dropped?
- Should I extend the lease first, then staircase or vice versa? Which way would be cheaper considering the MV will not apply if partial share? Or should I do them at the same time?
- Would I need a second valuation once I extend the lease and want to staircase?
- Would extending the lease instantly increase the price of the share I don't own?
- Should I go for a mortgage broker that's paid or one that's free?
- Should I just renew my current mortgage from the same lender?
P.S. Not sure if this is the right sub-forum, but the question encompasses several fields, so couldn't decide
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