The only way is down when it comes to Knaphill lease terms. Knaphill flats that have a lease term shorter than 80 years will de-escalate in value at a rapid rate, and the cost to extend your lease will increase.
Leasehold residencies in Knaphill with in excess of one hundred years outstanding on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such situations there is often little upside in buying the reversionary interest unless savings on ground rent and estate charges merit it.
| Lender | Requirement |
|---|---|
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| Coventry Building Society | A minimum of 70 years unexpired lease at completion for all scheme types apart from Lifetime Mortgages (Equity Release), which require a minimum unexpired term of 80 years at completion. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| TSB | Minimum of 70 years at mortgage commencement, with 30 years remaining at mortgage redemption. |
| Royal Bank of Scotland | Mortgage term plus 30 years. |
Lease extensions in Knaphill can be a difficult process. We recommend you get professional help from a conveyancing solicitor and valuer with experience in this area.
We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have a wealth of experience dealing with Knaphill lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Alexander owned a 2 bedroom apartment in Knaphill being marketed with a lease of a little over 61 years remaining. Alexander informally approached his landlord being a well known London-based freehold company for a lease extension. The landlord indicated a willingness to extend the lease to 125 years on the basis of a new rent to start with set at £200 per annum and increase every 25 years thereafter. Ordinarily, ground rent would not be payable on a lease extension were Alexander to invoke his statutory right. Alexander obtained expert advice and was able to make a more informed judgement and handle with the matter and readily saleable.
Mr A Robinson took over the lease of a recently refurbished flat in Knaphill in August 2007. The dilemma was if we could estimate the premium would likely be for a 90 year lease extension. Similar flats in Knaphill with 100 year plus lease were valued about £255,000. The average ground rent payable was £50 collected every twelve months. The lease ran out in 2097. Given that there were 71 years as a residual term we calculated the premium to the freeholder for the lease extension to be within £9,500 and £11,000 exclusive of professional charges.
In 2013 we were phoned by Mr and Mrs. M Nelson who, having acquired a first floor apartment in Knaphill in July 2007. The question was if we could approximate the premium would likely be for a 90 year extension to my lease. Comparable properties in Knaphill with 100 year plus lease were worth £254,200. The average ground rent payable was £60 invoiced every twelve months. The lease lapsed in 2077. Considering the 51 years unexpired we estimated the premium to the freeholder for the lease extension to be within £43,700 and £50,600 not including fees.