Came across this Short Lease listing today (below). Is it a worth while investment? £100k guide price.
The Short Lease listing
LEASEHOLD MAISONETTE VACANT POSSESSION
By Order of the London Borough of Enfield
Situated in a popular residential area, close to Trent Park and local shopping/ travelling facilities including Oakwood Underground Station (Picadilly Line).
A Self-Contained Purpose Built First Floor Maisonette with accommodation comprising:
Leasehold for a term of 99 years from 25th December 1959 at a ground rent of £15 per annum.
Entire Vacant Possession upon completion
Its no secret that with only 46 years on lease most normal lenders will not lend.
So cash invest it.
£100,000 invested (if can buy for guide)
Rent: £13200 (based on asking rental for same flat few doors down)
46 years means over £600k income
Take out your £100k with saving account interest over first 8 years
Leaves £500k, yes half a million for not doing anything
Call PropVestment and we will show you how to pull out your full £100k in 6 months and keep the property forever. Free lifetime Income
RESULTS – Short Lease
After publishing this article, one of our most read articles of all time, the property ended up fetching £187,000 in the auction and the buyer could extend the short lease to a whole 125 years for another £36,000.
Overall this ended up being a high price to pay for an property of this type however the buyer saw the future scope and realised that short lease should not stop you picking up a good property.