man surveying a property

Leasehold Valuations in Ipswich

 

Our surveyors have extensive experience of valuing for lease extension and freehold purchases from small studios to blocks with tens of flats. The majority of claims fall under the Leasehold Reform, Housing and Urban Development Act 1993 (the 1993 Act) but there are certain circumstances when the Landlord and Tenant Act 1987 (the 1987 Act) applies.

Leaseholders have a choice between the formal route (via the service of a notice) or what is commonly called the ‘informal route’ (approaching the freeholder prior to serving a notice). Choosing between the multitude of options can be daunting but can be easily explained by a member of our team who will set out the best and most appropriate way forward.

Whilst occasionally the leaseholder and freeholder are on good enough terms to agree the premium without any further professional assistance, most cases are rather more adversarial and will require the surveyor acting for one side to negotiate with the surveyor acting for the other. If the premium cannot be agreed both parties do have the resolution of the First Tier Tribunal.

Leasehold Calculator

Estimate the likely costs of a lease extension under the Leasehold Reform, Housing and Urban Development Act 1993.

LEASE EXTENSION

Lease extensions under the 1993 Act gives the leaseholder the right to an additional 90 years on top of their remaining term at a peppercorn ground rent.

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Block of apartments

FREEHOLD ENFRANCHISEMENT

As an alternative to a lease extension, leaseholders in a block can acquire the freehold in what is technically known as enfranchisement.

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Terraced houses

ABSENTEE FREEHOLDERS

A little know solution to a missing Landlord and often cheaper than enfranchisement.

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Two houses with yellow doors

We strive to help clients extend their lease and acquire their freehold saving them tens of thousands of pounds.

From a low value lease extension to freehold enfranchisements worth hundreds of thousands of pounds, Peter Barry have been on the side of leaseholders for over 10 years.

Matthew Price (Hons) BSc MRICS has successfully represented clients at the First Tier Tribunal (FTT) and both he and Steve Hobbs have been selected as expert witnesses by the President of the FTT in absent landlord claims under both the 1993 and 1987 Act. We have gained a reputation for providing straightforward and competent advice. We also work closely with a number of prominent legal practices within the leasehold and enfranchisement arena.

We are also up to date with the latest Leasehold Reform proposals which we recommend clients familiarise themselves with. You can read our analysis on our blog.

Local RICS Surveyors

We only provide services to areas where we have a local expert surveyor.

Competitive fees

Efficient practices mean great rates. Our desktop studies can offer further savings.

Highly Experienced

Our surveyors have negotiated hundreds of lease extensions and enfranchisements from the straight forward through to appearing at Tribunal.

how does it work?

1

contact us

For in depth advice and a quotation.

2

Confirm Instruction

Book one of our Chartered Surveyors to undertake your survey.

3

conduct survey

One of our Valuers will be in charge of your case and analyse the market.

4

Receive Detailed Report

You will receive your report within 4/5 working days followed by a telephone conversation.

5

Onwards with Solicitor

Your report will be forwarded to your solicitor who will serve notice on your Freeholder.

Frequently Asked Questions

What is a leasehold valuation?

Under the Leasehold Reform, Housing and Urban Development Act (1993), owners of a leasehold property can compel their freeholders to extend their lease by 90 years, and eliminate their ground rent in exchange for a sum of money.

To determine this sum, a valuation will need to be carried out by a surveyor working in the interest of the leaseholder, and a separate surveyor working in the interest of the freeholder. The valuation includes:

  • Compensation for the loss of ground rent
  • Compensation for the freeholder being unable to acquire the property for another 90 years
  • Half of the “marriage value” created by the lease extension

If these two surveyors cannot reach an agreement, the case can be referred to the First-tier Tribunal for determination. For an idea about the potential costs of your leasehold extension, try our online leasehold calculator.

What exactly is the marriage value?

When you extend a lease the value of the lease becomes higher, and the value of the freehold becomes lower. When that lease is short the uplift in the value of the lease will usually be greater than the diminution in the value of the freehold. That additional ‘profit’ is called marriage value. Under the legislation, when a lease has less than 80 years left to run, 50% of the marriage value is payable to the freeholder when the lease is extended.

If the property still has 80 years or more on the lease the marriage value is disregarded, and the leaseholder will not have to pay it. This is why it’s financially beneficial to start the leasehold extension proceedings before the remaining term falls below this point.

What is a Leasehold Valuation Tribunal?

The First-tier Tribunal – previously known as the Leasehold Valuation Tribunal is a sort of small court. At a hearing both surveyors submit their evidence, and the Tribunal members make a determination based on that evidence. The Tribunal can determine the compensation payable to the landlord, and/or the reasonableness of the costs incurred by the landlord that he intends to recover from the tenant.

What is a Section 42 Notice?

If a leaseholder is seeking an extension to their term, there are two ways they can achieve this; by making a private agreement with the freeholder, or serving a formal notice, referred to as notice under Section 42.

This opens the legal procedure for compelling a landlord to grant a lease extension, and the leaseholder must include a date at least 2 months in the future by which the freeholder must respond. If no Counter Notice is served by the stipulated date, you can apply to the County Court, who may grant you a new lease on the terms proposed in your notice.

What our clients say

I have engaged the services of Peter Barry multiple times this year to prepare detailed reports for the buildings under my management.

Shaun has consistently produced exceptionally comprehensive reports.

I have already recommended their services and will continue to do so.

As a managing agent, having a reliable surveyor available is invaluable.
I had a RICS level 2 survey carried out recently and had a good experience. They communicated effectively and got me the report within a couple days of the survey. It was detailed and highlighted a couple of issues I wasn’t aware of, so well worth doing.
Excellent firm for party wall surveys. After a bit of sleuthing I chose Peter Barry as they have a good reputation for avoiding the kind of conflicts that can escalate fees needlessly. That certainly proved true of my very level-headed and helpful surveyor James Merewether. Highly recommended.
Shaun Blake who was my surveyor was professional, friendly and knowledgeable. He took time to examine my property and produce a very detailed and informative report. I will definitely use 'Peter Barry ' in future and will have no problem recommending the company to others.
Response from the owner:Thank you, Elizabeth, for your kind words. We're delighted Shaun provided a professional, friendly, and thorough service. We look forward to assisting you again and appreciate your recommendation of Peter Barry Surveyors.
Had a Level 2 survey carried out recently, excellent service, clear and concise report delivered on time. Great service from start to finish from our first point contact Joanne to the surveyor Justin. Happily recommend.
Response from the owner:Thank you for your kind words and recommendation. We're delighted to hear you received excellent service from Joanne and Justin, and that the report met your expectations. We appreciate your feedback and look forward to assisting you again in the future.
Fantastic company, very professional and provided an excellent service for my help to buy property valuation.
Response from the owner:Thank you for your review. We're delighted to hear you found our service professional and helpful for your property valuation. We look forward to assisting you again in the future.
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