Whether you own a leasehold house, flat or maisonette and wish to purchase the freehold for your house or the collective enfranchisement for a block of flats, or an individual lease extension, then we are able to help with appropriate advice.
Under present legislation of the Leasehold Reform Act 1967 a leaseholder who has owned a property for more than two years (you do not have to live at the property) has a right to purchase the freehold. There are different forms of valuing the freehold dependent upon the rateable value and if the property has a lease before 1990 and does not have a water meter then this information can be obtained from your water bill that is sent either every half of full year. In most instances leasehold houses are for 99 years and in certain circumstances can have what is classed as a head lessee interest as well as a freehold interest. This interest can be purchased at the same time as the purchase of the freehold and is certainly advisable.
Over the years that the original term has run down this has affected quite significantly both the value of the subject property and the saleability of the leasehold interest in the property. There are many instances now where prospective purchasers will have difficulty in obtaining bank or building society finance in order to purchase a property, in some instances now where leases have 70 or even 75 years remaining. Therefore, it is important, as soon as financially able, to purchase the freehold of a property, which in the majority of cases increases the value of the property significantly.
A valuation for a freehold reversion is specialised and is constantly affected by both changes in market conditions and changes in law affected by case precedents determining valuation principles and practices. We offer a full valuation and negotiation service concerning all aspects of freehold reversion of houses to both leaseholders and freeholders.
Lease extensions for flats/maisonettes
Due to the large number of flats/maisonettes that have been built, the majority from the 1950’s onwards, the leasehold system of ownership of residential flats has meant that the owners of flats hold their property for a certain number of years, normally 99 but in recent times these have been 125 years. Original leases were normally 99-year leases with relatively modest ground rents. With the original term running down with the number of years, this has affected quite considerably both the value and saleability of the leasehold interest in the property. This has also manifested itself further in that when purchasers or even owner occupiers require a bank or building society mortgage, the length of lease has a significant bearing upon this. It would now appear that lenders have specific policies in place on leasehold properties and require a certain number of years left unexpired after the period of the loan. The actual length of lease that lenders are prepared to accept on mortgages does, of course, vary from one lender to another, as well as the appropriate ground rent particularly relevant for newer leases that have been put in place over the last 20 to 25 years. There have been a considerable number of higher ground rents with rent review clauses that can have a potential detrimental effect upon the saleability/mortgage ability of a property even though the number of years remaining can be quite excessive, as in some cases anything from 90+ years remaining.
The valuation required for lease extensions is certainly specialist and is constantly affected by both changes in market conditions and changes in law affected by case precedents determining valuation principles and practices. We offer a full valuation and negotiation service concerning all aspects of the lease extension process to both leaseholders and freeholders and we will detail our services below.
Buying the collective enfranchisement of a freehold block
There is potential for a leaseholder not just to extend their lease but to collectively with other leaseholders within the block potentially purchase the collective enfranchisement, i.e., the freehold. The provisions of the Leasehold Reform, Housing and Urban Development Act 1993 provide leaseholders with a statutory right to compulsorily acquire the freehold interest and once acquired the leaseholders have the ability to extend their lease for any period they wish and this is usually to 990 or 999 years. Purchase of the freehold of the block can be agreed by mutual agreement once valuations have been obtained by the parties, however, probably more frequently than with the cases of lease extensions, the lessees pursue the freehold interest under statutory provisions. Further requirements and eligibility for leaseholders regarding this can be obtained by contacting our offices.
Any enquiry made by a lessee into extending the term of their existing lease or purchasing the freehold of their house requires at the outset a valuation to establish the amount of premium payable. We provide two options for this valuation:
Option 1 – Desktop Valuation Whether you are the lessee or freeholder, this is a cost-effective way of obtaining a valuation. We produce a full calculation based on obtaining a copy of the lease and provide guidance for a lease extension on a flat/maisonette as a Section 42 Notice is required accordingly. The value of the property is assessed using supplied information on the size of the property and researching professional property information databases. The freehold purchase for a house under the Leasehold Reform Act 1967 is taken as a guide to provide appropriate information to the lessee or freeholder.
Option 2 – Full Valuation This service includes a full inspection of the subject property and is certainly recommended for potentially high value properties and where the lease of the property is less than 40 years unexpired. A full valuation is also recommended where a Section 42 Notice has to be served on a landlord for a lease extension or is expected to be served by the tenant.
Once you have obtained the necessary valuation, whether on a statutory formal basis or an informal basis, we can assist in negotiations to obtain the best value for money result. If this is on a formal basis, we may ultimately suggest proceeding to First Tier Tribunal and we have experience with regard to the application and ultimately the Tribunal Hearing.
Submitting an application to Tribunal, following the service of appropriate Notices and unsuccessful negotiation, would be the last resort, mainly due to the cost implications to both the freeholder and leaseholder. Our motto is always to look for the best possible “value for money” result.
If any of the above is of interest to you the please contact Andrew Perrin MRICS, Chartered Surveyor on 01922 627686 or firstname.lastname@example.org or email@example.com, or his colleague Steven Johnson MRICS, Chartered Surveyor on 01922 629000 or firstname.lastname@example.org.
Read What Our
" From the moment we moved to Fraser Wood Estate Agents from another well-known estate agent, we knew we were in professional hands and our dream move would be realised. Every member of staff we have met or had dealings with have been nothing but professional, reassuring and supportive. We received updates on a regular basis and when tasked with an enquiry, responses were almost immediate. Every step of our journey with Fraser Wood has been an absolute joy because we were made to feel like a customer to be valued.
We have no hesitation in recommending Fraser Wood, Walsall Branch; staff who care and work hard to ensure a smooth sale as is possible and who put their clients first. "
LEVEN DRIVE, WILLENHALL
"Can I just say though that I’ve been very impressed with the team at Fraser Wood in keeping me updated on progress, and regularly chasing things on our behalf. When we come to sell off the next property in our portfolio we’ll definitely be straight in touch."
TELFORD ROAD, WALSALL
"Andrew .... I'd like to express my gratitude for your assistance and would not hesitate to recommend your services to others. Just to be able to talk through my situation with you was very insightful and I appreciate the time given."
Leasehold advice - Chelmsford
"I contacted Fraser Wood to assist with a Freehold purchase through information on the ALEP website. Mr Perrin delivered an outstanding service from start to finish. He is very professional, friendly, knowledgeable and worked efficiently to a tight deadline, he kept us updated at all times and produced an excellent detailed report. Would not hesitate to recommend him and is fee was very reasonable . Many thanks Andrew"
"I contacted Andrew Perrin at Fraser Wood after finding his name listed on the ALEP website as an experienced lease extension valuer. He was incrediby friendly, helpful and professional and was happy to talk through everything with me. I was under a tight deadline and he returned a desktop valuation to me very speedily. His report was clear, concise and thorough and impressed my solicitor! I'm so thankful to have found someone so knowledgeable to help with a rather stressful process. I'll also add that his fee to do so was very reasonable. Thanks Andrew!"
Lease Extension - Shrewsbury
"Dear Jacqui and team at Fraser Wood Estate Agents, thank you very, very much for your patience and hard work in achieving Parklands Gardens. Well done!"
Parklands Gardens, Walsall
From my first meeting with Lee to completing on the sale of my property, Lee and his team (Jacquie, Denise and Carol) were all very helpful, providing an excellent professional service. I live overseas, so knowing the team were managing the process so well made the whole process less stressful. I chose Fraser Wood due to their reputation for high quality service. A big thank you to the team for their hard work.
Martin Road Walsall
Jacqui, Denise and the wonderful team at Fraser Wood, many thanks for your help in finding our new lovely home .. your prompting and checking for updates was really instrumental to keep the ball rolling and achieving completion in the desired time frame.
Skip Lane, Walsall
Hi Denise & Jacqui, we have indeed completed. Thank-you to everyone at Fraser Wood in assisting with the sale. It took it’s time but we’re now done. All the best.
Argyle Road, Walsall
The gentleman that showed me around the property was very friendly and helpful. We have dealt with many lettings agents in our search and have found many to be less than helpful... he not only answered all my queries but did so in a pleasant manner.
Northumberland Way, Walsall
I can't recommend this company enough. I was referred to Andrew Perrin to deal with a lease extension .. the first time I spoke to him he explained what needed to be done. He got on to it and got it sorted quickly and in a professional manner.
Plestowes Close, Shirley
It makes such a difference when you deal with a well established company with many years knowledge and experience...they were excellent in every way and I would highly recommend them and certainly use them again.
Richard Place, Walsall
Absolutely 100% fantastic! Jacqui and Denise kept me informed every step of the way while selling my house in record time. Always friendly and polite they were truly fantastic dealing with me, as I hadn't a clue what I was doing, they made it so easy.
Cairns Street, Walsall
Thank you for all your help during this journey and thank you for all your patience and support during this process.
Burnside Gardens, Walsall
Your main priority was to represent the seller .. throughout the process your team incorporated a friendly smooth pleasant service for the buyer (myself). I cannot fault the interaction I've had with you and team throughout this process
Lancaster Place, Bloxwich
Thank you Denise/Jacqui, I am very happy with the final outcome.
Sarehole Road, Hall Green
Thank you for your excellence and diligence ... especially at such short notice.. Thank you again for everything ... we will be recommending you.
Booths Lane, Great Barr
Thank you very much for your efforts and hard work in completing the sale, its not been easy!
Mounts Road, Wednesbury
To the team at Fraser Wood, thank you to you all you who assisted in the sale. Best wishes.
Hawes Road, Walsall
I was impressed from the first meeting with Lee Smith.. his sales team were equally good, their persistence made an at times difficult situation much easier. Fraser Wood are longstanding and thoroughly deserve their reputation. I would recommend them.
Buchanan Road, Walsall
It wouldn’t have been possible without your efforts so thank you once again.
Sutton Road, Walsall
Andrew, you have been so helpful, a huge "thank you" for guiding me through all this, and, genuinely, the fascinating chat we had about the lease situation generally...I will not hesitate to recommend you.
Limes Avenue, Barnes, London
Steve, thank you for your excellent work selling the Windmill. Kind regards and thanks again.
Highgate Road, Walsall
Many thanks for your help in our purchase. Your whole team were pleasant, helpful and on the ball ..thanks for the surprise gift box when we collected the keys .. would be happy to recommend you to friends and family.
Cornwall Road, Walsall
Dear Andrew, I just wanted to take a moment to thank you for your support with the recently completed purchase ... without your support it would not have been concluded and for that you will always have my gratitude.
Land Watling Street, Wilnecote
We found your staff a delight to deal with Carole Jacqui & Denise have been wonderful. The professionalism, reassurance and understanding the customers concerns were put at the centre of every conversation ..keep connecting people to their dream homes.
Lonsdale Road, Walsall
I have been very happy with your services ...please pass on my thanks to all the staff at your office who have been involved and kept on top of proceedings, keeping me up to date ... I would have no hesitation in recommending you in the future.
Lonsdale Road, Walsall
I was very impressed with the service received, communication was excellent and endeavouring to help with added issues. Thank you to all staff.
Lichfield Road, Rushall
Hi All, thank you for your assistance. We finally got there! Honestly, I'm glad it's all over.
Canning Close, Walsall
Everything done very efficiently. Particularly impressed with the viewing arrangements and the chasing up of the buyer when slow progress was encountered from the buyer's solicitor.
Mountbatten Court, Walsall
I would like to thankyou for the sale of 72 Broad Lane you helped so much for the family ... done amazing ...job thank you.
Broad Lane, Pelsall
Andrew .. Thank you for your patience, your always pleasant conversation, and your fine efforts in achieving this result.
College Drive, Handsworth Wood
I was very pleased with the overall service I received... I was seeking good communication due the distance I was from Walsall. I was pleased Fraser Wood lived up to their initial promises throughout the sales process which was very quick and smooth.
Richard Road, Walsall
Many thanks for all your hard work..The sale process has been pretty much stress free and that is down to the work you have done, so again, thank you for that. I would not hesitate to recommend Fraser Wood to friends and family