Participating Flats

• How many flats are there in the building?
• How many flats will take part in the Freehold Purchase process?

During the Freehold Purchase or "Collective Enfranchisement" process the freehold owner of ALL flats in the building will normally change. The Freehold share of all flats must hence be paid for, 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.

Current Market Value

• What is the average value of a flat in the building?£

The value provided here should be the average market value of a flat in the building without a share of the freehold. 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).

Length of Lease

• What is the average, approximate number of years remaining on the lease of a flat in the building? 90 or more 80 to 89 70 to 79 60 to 69 50 to 59 40 to 49 30 to 39 20 to 29 10 to 19 0 to 9

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" which is similar to Marriage Value.

Ground Rent

• What is the average Ground Rent per flat?£

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.