freehold

CELTIC_YOB

I need a bit of information please.

Is there a law that stops the land owner charging what he likes to buy the freehold.

I have been told that there is a cap, depending on the value of the property.

Thanks.

Doozergirl

Do you mean is there a cap that the freeholder can charge you as a leaseholder for buying the freehold?

There isn't a cap as such but they do have to charge you a reasonable amount. They also can't sell the freehold to anyone else for less than they have offered it to you for. You can have your own independent vaulation carried out and take the freeholder to the Leasehold Valuation Tribunal (LVT)if they are severely out of sync.

The people to ask for advice can be found at https://www.lease-advice.org. Governent funded, they will act in your best interests and are without doubt the best people to advise you There are phone numbers on the site too.

Out of interest, what is your freeholder asking and how long is your lease?

spunkeyrich

There is a formula for working out the price of what a freehold is worth, cant remember it just now but its something like number of flats say 50 x 12 x something else. = how much approx is worth.

As doozer says best to have a look around the net :-)

rich

CELTIC_YOB

Thanks all.

The amount they want to charge is £70.000, and the house is worth about £90.000.

It just do not seem proportional.

I have been on the telephone to the Law Ombudsman, he said it seemed a lot, yet he would not clarify the point of law that they can only charge an amount up to the capped level, depending on the value of the property.

Again thanks.

Doozergirl

How many years are left on the lease? It's impossible to say much without knowing, except that I'd expect it to be VERY low, nearing single figures even

I'd refer you to that link I gave you again. They are without doubt the people to speak to! I can't see what the Law Ombudsman has to do with it. If there is a problem with the amount then you will have to take your freeholder to the Leasehold Valuation Tribunal and the people at the Leasehold Advisory Service will be able to do all manner of things for you, not least explain why a freehold would be so expensive.

CELTIC_YOB

Thanks Doozergirl

I have past the phone number to the person involved.

I think the freehold is up, or just about.

Again thanks.