Valuation Guesstimator

When a freehold is sold the freehold owner of ALL flats in the building will normally change. The premium corresponding to the freehold share of each flat must hence be paid for. This is the case even if a flat owner does not take part in the process. Consequently, the more flats that take part, the lower the price per flat to be paid.

Valuation of a single freehold-share is generally only carried out where the leaseholders have already bought the freehold, and a flat which did not originally participate would now like to.

The value provided here should be the average, market value of a flat in the building with current lease. If you are unsure, ask a trusted local estate agent, check out similar properties on Rightmove or see what similar properties in the area have sold for at Zoopla.co.uk (links open in new window).

If a lease has less than 80 years remaining the increase in the value of your property caused by Freehold Purchase must be shared 50:50 with the Freeholder. This is known as "Marriage Value". For flats which do not take part in the process, the freeholder may need to be compensated for missing out on hypothetical profits due from non-participating flats seeking future lease extensions. This gives the freehold an additional "Hope Value".

This is the yearly rent paid to the Freeholder. Note that most leases will have graded Ground Rent that increases with time. Such graded Ground Rents can significantly increase the final valuation.

The value provided here should be the market value with current lease. If you are unsure, ask a trusted local estate agent, check out similar properties on Rightmove or see what similar properties in the area have sold for at Zoopla.co.uk (links open in new window).

If a lease has less than 80 years remaining the increase in the value of your property caused by Freehold Purchase must be shared 50:50 with the Freeholder. This is known as "Marriage Value". For flats which do not take part in the process, the freeholder may need to be compensated for missing out on hypothetical profits due from non-participating flats seeking future lease extensions. This gives the freehold an additional "Hope Value".

This is the yearly rent paid to the Freeholder. Note that most leases will have graded Ground Rent that increases with time. Such graded Ground Rents can significantly increase the final valuation.