Considering a Property with a Short Lease? If a lease has less than 85 years left, be cautious. Once a lease drops below 80 years, the cost of extending it significantly increases.
Understanding Lease TermsA lease is a contract between property owners and tenants. It outlines rights and responsibilities, such as rent and maintenance.
What is a Short Lease? Leases under 80 years are considered short. The '80-year rule' marks a crucial threshold where extension costs surge due to marriage value.
Extending a Short LeaseYes, you can extend a short lease, but it's not always straightforward. The process becomes more complex and expensive as the lease duration decreases.
Buying a Property with a Short Lease Getting a mortgage for a short lease can be tough. Some lenders offer solutions, but expect higher interest rates due to the perceived risk.