How accurate are the leasehold calculators and formulas?

[rmerc]

Hi Everyone, I have a few questions... if anyone can provide me with any clarity it would be GREATLY appreciated.

I am looking at purchasing a property for 540k with 64 years left on the lease. I have used the calculators online but depending on which one I use and what variables they ask for (some ask for yield etc) I get different answers.

I'd like to know

1. if I use the lease-advisory calculator. How accurate is it generally? like can it swing by 10%? 50%? 1005?

2. Is the cost of purchasing the freehold generally the same as the cost of extending a lease? intuitively it seems that freehold would cost more, but Ive read some articles (not on this site) that suggest that they should be similar.

3. How are the other components of the lease valuation formula determined? i.e. yield, % of marriage value etc?

4. Is there a website/database that has all the details of lease extensions and what they actually cost? or is it simply the solicitor which records this?

Many thanks, a lot of questions I know but any help would be greatly appreciated!

[leaseholdanswers]

In an obvious statement they are a good guide. You can only assess whether your lease and input information are accurate by having them assessed bay a qualified valuer.

That may say yes spot on, but might show a more accurate figure.

What you are asking for is the product of considerable years training and experience.

You can look at the lease advice decisions and learn from there. Bearing in mind leasehold houses and flats are dealt with under separate legislation.

I suggest you spend the few £000s and have it valued accurately.

[Gordon999]

You can search the record of recent LVT judgements on cost of lease extensions at www.lease-advice.org

You should get a valuation by a chartered surveyor specialising on lease extensions before you decide to buy.

You should be aware that a lessee is required to wait for 2 years before he/she can qualify for statutory lease extension. But a search on this forum will show past recommendations are to arrange for the exiting property seller to serve the notice of extension to avoid the 2 year waiting time.