In this video, as cash buying experts we discuss how they can help you to sell an unmortgageable piece of real estate. One of numerous videos featured on our YouTube channel, which offer genuine insight for anyone who fears that they have been left with a cash-draining property or lease agreement.
One of the most common factors that makes a property unmortgageable is its lease arrangement. Most high-street lenders will not consider mortgaging a property with a lease that is shorter than 70 years, for example, so if you own a short-lease property or flat it can be almost impossible to monetise your asset. This process is also decidedly complex, but Open Property Group have in-depth knowledge that enables them to add significant value in this area.
So, if you have a short-lease property but lack the knowledge or the financial means to extend the lease, we will provide the solution in the form of a fair valuation and quick cash purchase. In terms of your expected return, the group will apply the standard discount rate and make a base offer of up to 85% of the properties market value, although they will also be required to reduce this in order to cover the associated lease premium.
Of course, short-lease properties are not the only kind of structures that are unmortgageable. The same rule also applies to properties that have a defective or an outdated lease, while it is also applicable to those that have issues surrounding double insurance (when the lease-holder is funding coverage that a landlord should be responsible for). These instances are not particularly well known, so companies like Open Property Group can help to fill any gaps in knowledge and enable you arrive at a compliant and profitable solution.
You may also find that your property is unmortgageable depending on the construction methods and the materials used to build it. If you own a fabricated or manufactured home, or at least one that is made from concrete or a timber frame, it is unlikely that traditional lenders will advance you a mortgage. This will not stop us from purchasing your property, however, regardless of its age or the way in which it has been built.
To find out more about this and similar topics, why not visit our YouTube channel and view their array of insightful videos.