Category: Home Ownership

How Do You Know If Damp Is Serious?

Posted on by Thomas Awoleye

There are many issues you need to keep an eye out for in your home, including the presence of damp. With the ability to cause a range of issues, damp is something to be on the lookout for and, ideally, solved as quickly as possible. So, what is damp and how do you know if it’s serious?

Damp is the presence of unwanted moisture on your home’s surfaces, leading to dangerous black mould if it’s left untreated. This is serious, because not only can damp damage your property, but the resulting black mould can have serious health implications. Getting to the root cause of your damp is important and can save on costly repairs.

Read on to find out more about what causes damp, if you should be worried about damp, what will happen if you leave damp untreated, and more.

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What Causes Damp?

Damp is caused by the build-up of water and moisture in your property. The following common signs can help you identify dampness in your home:

  • Condensation on windows.
  • Discoloured or dark patches on your plaster.
  • Water droplets on your wall or surfaces.
  • Rotting woodwork.
  • The presence of black mould.


You can find out more about dealing with damp in your property here. Alternatively, our surveyors are on hand to help, so contact us today to find the source of your problem and get on the path to solving it.

Should I Be Worried About Damp?

Dampness in your property can cause a multitude of problems, for both you and your building. If it’s left untreated, damp can cause black mould, which is dangerous and can lead to health issues. Fevers, coughs, and other unpleasant symptoms can all result from the presence of black mould, so dampness should be seen as a serious issue.


Damp walls and surfaces can also cause significant damage to your property. Rotting wood, growing fungi, or other serious structural issues are a possibility. This is why it’s important to get help from a Crest surveyor if you’re worried about damp in your property or one you’re considering purchasing.

What Does Severe Damp Look Like?

There are many common signs of damp you need to be aware of, but some of them can be more serious than others and are a sign of severe issues:

  • Mould: Black mould can be harmful to your health. If you’re seeing it in your property, you need to resolve the damp issues as soon as possible.
  • Crumbling Plaster: Severe damp can cause plaster to start crumbling, especially lower down on your walls.
  • Rotting Wood: Not only can excessive moisture start to rot your skirting boards, but your floorboards too. In combination with other factors, this can lead to structural issues.

Discolouration: Severe damp can begin to discolour your walls, ceilings, or floors.

How Can I Tell Where Damp Is Coming From?

Identifying the source of damp early is key to treating it and preventing further impact on your property. There will be signs both inside and outside the building that will help you find out where the moisture might be coming from.

Inside:

There are multiple ways to find the source of damp on the inside of your property. They can include:

  • Rising damp is a sign of damp coming from the ground and will often affect the lower parts of your property. Marks on walls no more than one metre from the ground or rotten skirting boards can both be an indicator of rising damp, among other things.
  • Wallpaper peeling from the lower parts of your walls.
  • Other wooden elements rotting.
  • A stale smell.

Outside:

External walls can also provide a good indication of where excess moisture might be entering your property. The following list is just a few things you can look out for to help you find the source:

  • Damaged brickwork.
  • Growth of moss or algae.
  • Blocked or damaged gutters.
  • Missing roof tiles.

How Do I Know If My House Is Too Damp?

There are some simple ways to find out if your property is starting to become too damp. You might see condensation on your windows, especially in the morning. You can also check your walls. They might feel damp or cold to the touch, which is a sign of excess moisture. It’s also possible that you will notice a rise in your utility bills, as dampness may make your home feel colder. Moist air also requires more energy to heat than dry air, so eliminating as much excess moisture as possible should be a focus.

How Do You Know If Damp Is Affecting You?

The health impacts of dampness in your home are just as important to recognise as the possible structural issues it can cause. There are an abundance of ways the presence of damp and resulting mould can affect you personally, but here a just a few: 

  • Respiratory Issues: The majority of contact made with the dangerous products of damp happens through breathing them in. This means that many of the health issues caused are found in the lungs and airways. Symptoms can range from a general cough to an increased risk of developing infections.
  • Irritation: Some may suffer from allergic reactions after exposure to damp or mould. Eye irritation and itchy skin are both signs that the damp in your home is affecting you.
  • Other Infections: Other fungal infections can also be caused by exposure, especially in those with weakened immune systems. This includes, but is not exclusive to, skin infections.
  • Mental Health: Living with damp or mould could also impact your mental health. This could be due to the damage to belongings, delays in repairs, or many other obstacles you might face before treating the issue.
An open window with a radiator below it.

What Happens If Damp Is Left Untreated?

The more serious your damp problem is, and the longer it is left untreated, the worse the risks to both you and your property are likely to be. Structural damage, interior damage, and health impacts can lead to huge financial and emotional costs.


Not only can damp issues mean higher heating costs, but an ongoing problem can make it difficult to sell or remortgage your property. All of the resulting problems mentioned in this blog can be avoided if you treat dampness as soon as possible. Get in touch to start the process with Crest Surveyors today.

Trusted Surveying Services

If you’re worried about issues in your property or a property you’re looking to buy, we can provide you with expert house surveys to give you piece of mind and allow you to fix issues before they get worse.

 

All of our surveyors are members of the Royal Institute of Chartered Surveyors (RICS) and have years of experience offering you great support and expert advice.

 

You can count on us for:

  • Value For Money: We aim to provide great value services, no matter your individual requirements.
  • Superior Support: Crest provides expert advice tailored to your needs.
  • Fast and Reliable Service: With most of our surveys, you can expect results within six working days.
  • Excellence: All of our surveys and valuations meet the rigorous requirements set out by RICS.
  • Stronger Negotiations: We can help you secure the best possible price, whether you’re buying, selling, or renting.


Interested in booking our surveying or valuing services? We’ll be happy to talk you through our services and give you a hand in deciding what’s right for you. Then, we can schedule an appointment to get you started. Get in touch with Crest today to find out more about what we can do for you.

FAQs

A dehumidifier can help with dampness in your home, but will not get rid of it completely. They work by extracting moisture from the air, and can help reduce moisture levels and prevent mould. However, dehumidifiers are less effective in larger areas and will not address the root cause of dampness. Finding and addressing the origin of the issue is key and our surveys can help with this.

On top of the common signs of damp we mentioned earlier, you can also look out for others, like a musty smell that isn’t coming from something else, or bubbling and peeling paint. There are many things that can tell you if your property is developing issues with damp, and it’s important you get them treated as soon as possible.

Damp in your home can cause a range of symptoms:

  • Respiratory Problems: Such as wheezing, shortness of breath, and coughing.
  • Allergic Reactions: Such as sneezing, skin rashes, or a runny nose.
  • Irritation: Such as a sore throat, or red, itchy eyes.


Existing allergy conditions and asthma can also be worsened by dampness and its resulting mould. Certain groups of people, like the elderly or those with weakened immune systems, are more at risk. If you have symptoms that persist, please see a doctor.

Does Japanese Ivy Destroy Brick?

Posted on by Thomas Awoleye

Does Ivy Destroy Brick? ​

Whether you’re looking to buy, sell, or rent a property, it’s important to know about everything that could affect it in the future. Not only do you have to think about the structure itself, but it can also be affected by nearby influences, like plants. So, does ivy destroy brick?

Yes, Japanese ivy can destroy the bricks found on exterior walls. It can also become destructive to other exterior features, like paths, drains, or fences. This invasive plant’s stem is strong enough to damage your property’s foundations and needs to be managed as soon as possible.

Read on to learn more about Japanese ivy, and how it might affect you and your property.

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What Damage Does Japanese Ivy Do To Walls?

Japanese ivy, also known as Japanese knotweed, is an invasive, rapidly growing plant that can become destructive if left to grow. Identifiable by its heart-shaped leaves and bright white flowers, this plant can damage exterior walls and other structures, like drains, paths, or fences. During early Spring, Japanese knotweed also develops a bamboo-like stem. This can grow up to seven inches and is strong enough to damage the foundations of your property.

Damage to brick is something to keep an eye on if you’ve discovered Japanese ivy on your property. There are multiple ways the plant can impact exterior walls, with just a few listed below:

  • Dislodging Brick: Japanese knotweed can loosen and crumble mortar, allowing water to get behind the brick. This also increases the risk of interior damage.
  • Weakening Vulnerable Structures: Not only can Japanese ivy damage the structure of a building, but it can also weaken other vulnerable structures. For example, free-standing walls can become destabilised by the added weight or the way the plant is affected by wind.
  • Hiding Other Problems: An excessive growth of the plant could be hiding other problems on your exterior walls. If gone unnoticed, this could lead to a range of issues, including dampness.

Blocking Gutters: Keeping your gutters clean and free-flowing is important to the health of your property’s structure. Unmanaged ivy can block your gutters, leading them to overflow and cause further damage.

Does Ivy Cause Dampness On Walls?

There is evidence that Japanese ivy can be both a blessing and a curse to your walls. According to the Royal Horticultural Society (RHS), a dense patch of ivy could be hiding damp problems, allowing them to go unnoticed and get worse. Other research also shows that ivy may prevent damp from evaporating effectively.

However, there is also ample evidence to show that Japanese knotweed can provide some benefits to your property. It can shield your brickwork from heavy wind and rain, which can both cause damage and lead to damp. The effect of ivy on your property varies depending on location, building materials and other aspects of the building. 

Unsure whether Japanese ivy is helping or harming your home? Get in touch with Crest Surveyors today to find out more.

Should You Remove Ivy From Walls?

It’s illegal to attempt to remove and destroy Japanese ivy yourself, under the Environmental Protection Act 1990. This plant is fast-growing and difficult to remove, so a specialist will need to take down and destroy any you find on your property.

If you’re looking to purchase a property that may have Japanese knotweed damage, you’ll first need to investigate the extent of the damage. You can find out more about how ivy can affect the buying process here.

Does Ivy Devalue A House?

Japanese knotweed is known to decrease house prices by 10 to 15%, depending on the severity of the case. If you’re planning on selling a property, you’ll need to disclose the presence of the plant. It’s best to do this before you put your property on the market, so you can get an accurate valuation and a treatment plan can be put in place.

How Can We Help?

Here at Crest Surveyors, we have an expert team on hand to help you find out the extent of your problem and what to do next. We can give you a hand figuring out which survey will be best for you, or give you more information on the effects of Japanese knotweed on your property.

Get in touch today to learn more about your home, whether you’re buying, selling, or renting.

Japanese Ivy FAQs

Can You Get Rid Of Japanese Knotweed?

Yes, it’s possible to treat and dispose of Japanese ivy. As it’s an invasive plant, you’ll need specialist help to make sure you’re following the law and minimising the spread.

Who’s Responsible For Removing Japanese Knotweed?

It’s the landowner’s responsibility to safely remove and dispose of this plant.

What If My Neighbour Is Growing Japanese Ivy?

You may need to examine whether the plant is present on any neighbouring properties that present a risk to your building, especially if you’re planning to purchase. Let them know as soon as possible and, if they don’t treat the growth, you may be able to bring a claim against them.

How Much Foundation Movement Is Acceptable?

Posted on by Thomas Awoleye

Significant foundation movement can be a sign of structural damage which can be costly to repair. If you’re concerned about foundation movement, you need to know how much movement is acceptable and how much is cause for concern. 

Most building codes define acceptable foundation movements in millimetres over a specific period. For a residential building, an acceptable foundation movement is less than 25 mm over 12 months. Lateral movement (from side to side) should not exceed 6 mm.

Read on for a more detailed explanation of acceptable foundation movement, the causes and the warning signs to look for. 

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How Much Foundation Movement Is Too Much?

Although some foundation movement is considered normal, excessive movement can compromise the building’s structural integrity and have disastrous long-term consequences. Most building regulations define acceptable foundation movement for a residential structure as a maximum of 25 mm over 12 months. Lateral movement (from side to side) should not exceed 6 mm.

However, the acceptable level of foundation movement can vary based on soil type, the building’s design and local building codes. For example, a single-story building, such as a bungalow, can typically tolerate a higher level of movement than a multi-story building. 

If you’re concerned about foundation movement in your property or a building you’re purchasing, it is essential to book a building defect survey to assess the problem. If you want the most comprehensive survey, a full structural survey might be the better option. Have a look at our blog, ‘What Is Looked at in a Full Structural Survey?’, for more information about what is included. 

What Causes Foundation Movement?

There are a range of issues which can result in foundation movement. Here is an overview of the most common causes. 

Poor Drainage

If your property has insufficient drainage, the added moisture saturates the soil making it expand. This causes uneven support and puts pressure on the foundation walls causing movement. Poor drainage can be caused by blocked gutters, damaged roofs, negative slopes and standing water.

Tree Roots and Plants

Invasive tree roots can also cause foundations to shift over time. Other plants, such as Japanese Knotweed, can also cause significant structural issues. 

Environmental Changes 

Extreme weather conditions can also damage foundations, although this is rare. Heavy rain can cause soil to swell, while drought causes the soil to shrink. This can cause the foundation to shift and impact the property’s structure. 

Soil Type

Soil type and composition can impact the long-term stability of foundations. Clay soil can change significantly in volume as the moisture content changes, which can lead to foundation movement if it has not been accounted for during construction

Negligent Construction

If low-quality materials have been used during construction or the foundation has been laid incorrectly, this can result in foundation movement and significant damage that is costly to repair. If you’re thinking of buying a property, a RICS Homebuyer Survey is essential to assess the condition of the building. 

What Are the Signs of Excessive Foundation Movement?

There are several signs of excessive foundation movement that you should look out for when viewing a property or if you’re concerned about your building’s foundations. 

These signs include:

  • Sudden cracks on interior and exterior walls, floors, tiles or ceilings. 
  • Doors and windows which stick or don’t function properly.
  • A visible lean or tilt of the building or a leaning chimney.
  • Bending walls or gaps appear between the wall and the floor or ceiling.
  • Creaking or cracking sounds.
  • Rot or dampness issues.

When Should I Be Worried About Foundation Cracks?

One of the most common signs of foundation movement is cracks. However, it can be difficult to tell the difference between harmless cracks as a result of normal settling and cracks which indicate structural damage and a shifting foundation.

If you notice the following in your property or the property you’re purchasing, you should book a building survey by a registered surveyor:

  • Large cracks that are wider than 4mm
  • Cracks which are wider at one end
  • Cracks that get bigger over time
  • Horizontal cracks in foundation slabs 
  • Significant diagonal cracks
  • Stairstep cracks in brick walls 
  • Cracks that go across the ceiling and down a wall
  • Several cracks grouped together 

Structural Surveys in London by Crest Surveyors

If you are concerned about foundation movement in your property or a building that you are purchasing, you must get this looked at as soon as possible. The RICS-qualified Chartered Surveyors at Crest are here to help. 

A building survey is the most suitable option if you need to diagnose defects, damages, and potential issues with a property, including foundation movement and structural damage. Crest Surveyors offers comprehensive RICS Building Surveys in London and the South East of England.

To learn more about what’s included in our building survey or speak to one of our experts about your foundation movement issues, get in touch with us today. Call us on 020 3940 1118 or fill out our contact form.

Foundation Movement FAQs

What Is Foundation Movement?

A foundation or structural movement is when a property moves away from its original foundations. Any issues with a property’s foundations must be identified and rectified quickly to ensure the building is safe and structurally sound. Any foundation movement can be identified by a RICS-qualified surveyor using a Building Survey.

How Much Foundation Settling Is Normal?

A small amount of settling in the first few years after a home is built is normal. Thin hairline cracks may appear. However, it’s still essential to be vigilant and monitor any cracks to ensure there are no structural problems. 

Non-structural cracks should be vertical and 5-15 cm long. Wider cracks, longer cracks or any diagonal or horizontal cracks could be a sign that something is wrong with the foundation and you should seek professional help. 

Are Cracks in Bricks Normal?

Posted on by Thomas Awoleye
A red brick wall with mortar broken out of it and gaps between the bricks.

While we often think of bricks being near indestructible, this is often not the case. Most properties will see some form of cracks forming through the years, however understanding why they’re happening and how to prevent it getting worse is essential. So are cracks in bricks normal?

Seeing small or hairline cracks in bricks will happen from time to time. However, it’s important to repair these to stop them from getting worse. If you see larger cracks that span across multiple bricks, this could be a structural issue and will need immediate attention from a professional.

Read on to find out more about if cracking in bricks or brick mortar are normal, when to worry about a crack, and how to repair them.

Are Hairline Cracks in Brick Normal?

Hairline fractures in clay bricks can often happen in different ways. Cracks will often occur from external factors such as water, rain,  and shifting soil. or when the house settles. Due to a brick’s inflexible nature, factors like these can cause the brick to crack and fracture.

Hairline cracks in bricks generally aren’t anything to worry about, however it’s always a good idea to repair them with masonry repair caulk or specialised mortar before they become wider and deeper. This is because cosmetic cracks can often become larger, structural issues over time.

While these are usually fixable with some DIY, if you’re unsure about any hairline fractures in bricks it’s always better to get an expert’s advice. We offer RICS Building Surveys that are perfect for anyone that wants to check for structural damage before committing to a home purchase.

When to Worry About Cracks in Bricks

When a crack becomes structural, that’s when there’s a real issue with the property. These cracks will usually take the form of a staircase, with diagonal jagged lines running through multiple bricks.

Some of the biggest indicators of structural cracks are diagonal cracks that:

  • Are found above doorways or door frames
  • Can show natural light through them
  • Are deep in appearance
  • Are wider than 5mm

A brick wall that is painted white with a large crack running through it.

Are Cracks in Brick Mortar Normal

While small cracks in brick mortar aren’t a major issue, leaving it to worsen can cause structural issues further down the line. It’s important to prevent this, and take care of the small cracks with some DIY. A hairline crack in the brick mortar doesn’t mean that there are structural issues, so you’ll generally be fine.

When to Worry About Cracks in Brick Mortar

If the cracks are running through a lot of the mortar on a particular wall, this could be an issue such as the foundation slumping and causing the wall to shift. Similarly, if the cracks are wider than a hairline crack or if the mortar is falling out from between the bricks, this is the sine of a hidden structural problem and you should get this checked.

If you’re looking at buying a house and spot excessive cracks in the property’s brick mortar, you might want to get it checked with an RICS registered surveyor such as Crest Surveyors to ensure there’s no further problems. We can perform RICS level 2 and level 3 surveys, so no matter what the condition of the property, we’ll be able to provide you with comprehensive advice to help you make the right decision.

A red brick wall that looks old and not well looked after.

How to Repair Cracks in Brick Walls

The process for repairing a crack in a brick wall will often vary depending on the position of the crack on the wall and the cause of the crack. We found this summarised step-by-step guide on how to repair cracks in brick walls:

  • Remove any cracked mortar from the wall up to 2cm deep using either a chisel or raking bar. 
  • Brush away any excess dust or mortar.
  • Spray the old mortar with water to stop it absorbing too much water.
  • Fill the loose sections with new mortar using a jointer brush – make sure not to leave any gaps/voids.
  • Use a pointer to flatten the mortar and fit the style of the surrounding walls.


Building Surveys With Crest Surveyors

At Crest Surveyors, we help homebuyers make the right decision on their potential new property by conducting in-depth RICS Homebuyer Surveys (level 2) and RICS Building Surveys (level 3). All of our surveyors are RICS approved, meaning that you can make your decision with confidence.

We know that buying a property can be a very stressful time, and that’s why we work to have our surveys completed at an affordable price within 2-3 weeks. Get in touch with a member of our friendly team for more information on how we can help you today.

What Are the Stages of Buying a House in the UK?

Posted on by Thomas Awoleye
An open door showing the lock and empty home behind

Buying a new house can be a daunting time for many people, especially first-time buyers. Understanding the process in advance can help you calm your nerves and make an informed decision at each step. In this guide, we’ll explain the 6 stages of buying a new home.

So what are the stages of buying a house in the UK? In the UK, there are 6 stages of buying a new house that should be performed in order to ensure the process runs as smooth as possible:

Finding an affordable property

  • Making an offer
  • Finding a solicitor and surveyor
  • Finalising your offer and mortgage
  • Exchanging contracts
  • Completing the purchase

Read on to find out more about the 6 stages of buying a house in the UK.

 

What Are the Steps of Buying a House in the UK?

Buying a new house can often be a complicated process. With so many loops to jump through, many first-time buyers can feel lost and confused, and worry that they aren’t covering everything that’s needed. Below, we’ve broken down the 6 steps of buying a house in the UK.

Find an Affordable Property

The first step is to find a property that you can comfortably afford. To do this, you’ll first need to spend some time calculating how much you can actually afford to spend without breaking the bank. This will affect the house that you’re able to purchase and the mortgage that you can afford. Make sure to include any known budget changes that might happen in the future, and ensure that you’re able to afford to live on top of it.

At this stage, you should also be looking at applying for a mortgage as it can be a time consuming process. Once you’ve found one and been accepted ‘in principle’, the lender will tell you how much they’re likely to offer you and the interest rate you’ll pay. You can then use this to further narrow down your budgets and property choice.

Take your time finding a property and ensure you’re happy with your choice. View as many as you can within your budget and look at external factors such as schools, transport, and anything else that matters to you. Once you’ve made your decision, you can move onto making an offer.

There are a lot of options out there for ways to purchase a property. Check out our blog, ‘Is buying a shared ownership property a good idea?’ to see if it’s right for you.

Make an Offer

At this stage, you’ll want to make your offer. This is usually done through the estate agent that’s advertising or managing the sale. Don’t be afraid to ask them questions about what the seller wants, but bear in mind that they’re trying to get the best deal for their client!

You won’t need to pay the estate agent to receive your offer, as you only have to pay for the estate agent if you’re the one selling the property. 

Find a Solicitor and Surveyor

Once your offer is accepted, you’ll need to find a solicitor and a surveyor to make sure everything runs smoothly.

Solicitor

The solicitor’s job is to handle the legal work regarding the property’s purchase. They should provide you with information around how much you should expect to pay for their services in total, and might ask for an upfront deposit – around 10% of their fee.

The solicitor will submit requests to the local council to find out whether there are any planned works or local issues in the area that might inadvertently affect the property’s value.

Surveyor

two people surveying a house

The job of a surveyor is to provide a thorough inspection of the property and a detailed report based on the inspection to highlight any defects. This can also include a valuation if required. 

The surveyor will independently value the property and check for any defects that will devalue the home, such as damp issues or structural issues. There are a few surveys that might need to be carried out:

RICS Property Valuation

A RICS property valuation is an independent analysis  of a property by a RICS registered valuer. Once completed, this is followed by a detailed report that highlights the findings and provides their valuation. 

Valuations can be particularly important, as the property may be valued less than the estate agent’s valuation to put the property up for sale. Their valuation may have also been completed a long time ago if the property has been on sale for some time, so there may have been things that occurred to devalue the property since then.

At Crest Surveyors, we offer valuations backed by years of experience from highly qualified RICS registered valuers. Our RICS Property Valuation prices start from:

  • £349 for up to a 2-bed property

  • £369 for a 3-bed property

  • £399 for a 4-bed property

  • £449 for a 5-bed property

Should you wish, you can add a valuation to one of the surveys below for an optional cost of £99.

RICS Homebuyers Survey (Home Survey Level 2)

The RICS homebuyers survey is a standard report designed by the Royal Institution of Chartered Surveyors (RICS). The report highlights important information about the condition of a property. This assessment will cover all areas of the property, beyond what can be seen visually, with the aim of evaluating its condition and helping buyers make an informed decision.

This is a vital step in the house buying process. Once you complete your purchase, any unidentified defects are now your financial responsibility, so it’s important to identify these and negotiate the price accordingly to cover it. For example, if the identified defects will cost you £6,000, instead of having to pay that yourself, you can negotiate the price down by this amount to cover the costs.

Crest Surveyors offer a comprehensive RICS Homebuyer Survey starting from just £649. Our full list of prices include:

House / Bungalow prices start from:

  • £699 for up to a 2-bed property

  • £749 for a 3-bed property

  • £799 for a 4-bed property

  • £849 for a 5-bed property

  • Properties over £1 million are charged at a higher fee.

* Include a Property Valuation for an additional £99.

Flat / Apartment prices start from:

  • £649 for up to a 2-bed property

  • £699 for a 3-bed property

  • £749 for a 4-bed property

  • £799 for a 5-bed property

  • Properties over £1 million are charged at a higher fee.

* Include a Property Valuation for an additional £99.

For more information on what to expect from a Homebuyers Survey (Level 2), read the RICS guide on Homebuyers Surveys.

RICS Building Survey (Home Survey Level 3)

A RICS building survey contains a detailed analysis of the property’s current condition and construction. It also comes with a comprehensive report detailing the defects, repairs, and any costs associated with their maintenance and repairs. 

The building survey acts as a more detailed homebuyers survey that is designed to assess listed buildings or properties that are over 100 years old. However, there are other reasons you may want to perform a building survey instead of a homebuyers survey:

  • If the building has a history of structural damage

  • There are significant damages or defects in the property

  • If you suspect that the property might have damage

At Crest Surveyors, all of our surveyors are members of the Royal Institution of Chartered Surveyors (RICS), providing you with the quickest and most cost-effective survey possible. Our RICS Building Survey prices start from:

  • £900 for up to a 2-bed property

  • £969 for a 3-bed property

  • £1049 for a 4-bed property

  • £1199 for a 5-bed property

  • Properties over £1 million are charged at a higher fee.

Should you wish, you can add a valuation to your survey for an optional cost of £99.

For more information on what to expect from a Building Survey (Level 3), read the RICS guide on Building Surveys. Alternatively, you can read our easy guide for information on the difference between valuations and surveys.

 

Finalise Your Offer and Mortgage

A couple shaking hands with their property manager

Once your surveys have been completed, you might need to renegotiate your offer if issues were uncovered, or the lender values the property at a lower price. This stage is generally the most stressful stage of buying a house in the UK, because there are often delays and a lot of back and forth.

These problems can include:

Rejection from your mortgage application

  • The seller withdrawing the property from the market
  • The seller accepting a higher offer elsewhere
  • The seller rejecting your revised offer

If everything has gone to plan, you can finalise your mortgage with your lender. There’s usually a fee for this called an arrangement fee, this can either be added to your mortgage or paid in advance. If you add it to the mortgage, you’ll end up paying interest on this for the life of the mortgage.


Exchange Contracts

You will then receive the contract from the seller to sign and complete the sale. Make sure that you go through the entire contract with your solicitor before signing to ensure that all the details are correct. You should also double check that you’re happy with what the sellers will be leaving in the property and that all of your questions have been answered.

You may also need to pay a holding deposit, but once you’ve covered this and exchanged contracts, the sale is ready to go! You should then find building insurance to cover the structure of the property.

Completion

Even though the contracts have been exchanged, the final steps of the process can still be stressful. The remaining money is sent from your solicitor to the seller’s, and your lender will normally charge a mortgage account fee to set up your account. Once these are completed, you’ll also need to pay your solicitor’s bill.

Your solicitor will then register the transfer of ownership with the Land Registry, as well as registering it with Land and Property Services.

You will have 14 days from the completion date to file the Stamp Duty Land Tax Return and pay any tax due. Your solicitor will usually arrange this with you, so ask if it isn’t mentioned. Once completed, that’s everything you need to do!

Homebuyers Surveys at Crest Surveyors

At Crest Surveyors, we provide RICS property valuations,  RICS homebuyer’s surveys, and RICS building surveys across London and Surrey. With years of industry experience and in-depth knowledge of our local area, we work to provide you with the highest quality of service. Our surveys will let you know if there are any issues or defects with your property or potential new purchase, before you sign the contract. 

Whether you’re a first-time buyer or an experienced mover, you’ll need a Homebuyer Survey or building survey to provide you with a full understanding of the building’s current condition. Our local and affordable services are here to help you make the process simple and easy. Get in touch with one of our RICS-qualified specialists today to book your survey.

How Long is a Party Wall Agreement Valid For?

Posted on by Thomas Awoleye
The door of a house with a bike outside

If you’re planning a project that may affect the party walls of your property, you’ll need to inform your neighbours with a party wall notice. In this blog, we’ll explain how long a Party Wall Agreement is valid for and where to find any key information you may need. 

So, how long is a Party Wall Agreement valid for? A Party Wall Agreement is generally valid for one year from the date of the award. This agreement needs to be set up before any construction work takes place. 

Keep reading to find out more about the Party Wall Agreement as well as how it works for adjoining owners and surveyors. 

How Long is a Party Wall Agreement Legally Valid?

Generally, a Party Wall Agreement is legally valid for one year from the date of the award. According to the Act, a building owner has to commence works within one year of the award being deemed to have been validly served.

That being said, if an award is served and there are no disputes from either party, the date upon which the clock will start ticking will be 14 days after the date of service. This is because the Act provides 14 days in which opposing parties can raise an appeal.

Under the act, any party to the award can appeal the surveyor(s) decision or any of the terms and conditions therein to a County Court within 14 days of receipt of the award. If one of the parties to the award decides to file action, the clock would not start ticking until a final determination was made by the court. 

Litigation can be a long drawn out and costly exercise, which is why if you can, it’s always best to avoid it. 

How Long in Advance Do You Have To Serve The Notice?

You need to serve notice at least two months before the planned starting date for work to the party wall. The adjoining owner may agree to allow works to start earlier but is not obliged to, even when agreement on the works is reached. The notice is only valid for a year, so do not serve it too long before you wish to start.

Does The Party Wall Agreement Have a Statutory Limitation Period For Surveyors?

It’s worth noting that there is no statutory limitation period with regard to surveyors. It would appear that under The Party Wall etc. Act 1996, surveyors have been granted powers to act in relation to; “any other matter arising out of or incidental to the dispute”.

There are no time limitation restrictions on surveyors to resolve disputes. As long as the damage caused to an adjoining owner’s property was caused by works that had been carried out under a Party Wall Award, the surveyor has the power under the Act, to enforce compensation or draw up a new award.

However, if the building owner fails to comply with the terms or conditions of the new Award, an application to the Court to enforce it must be made within 6 years of the date of the new Award.

When Does an Adjoining Owners’ Protection Expire Under Party Wall Awards?

This is a difficult question to answer because it is not addressed under the provisions of the Act. However, an answer can be found under sections 2, 7 or 9 of the Limitation Act 1980. 

Under section 2 of the Limitation Act 1980, an adjoining owner has a right to make a claim for monies owed under the Award directly to the court. If monies are owed as a result of the award specifying that monies should be paid within a certain time frame, then the claim must be made within a maximum of 6 years from the expiry of the date that was stipulated by the Party Wall Award. 

Under section 9 of the Limitation Act 1980, an adjoining owner can make a claim directly to the Court for monies due under a statute. It is worth noting that a claim under this section must be commenced within six years of the date that the claim arose.

Why Choose Crest Chartered Surveyors For Your Party Wall Agreement

If you’re planning to carry out home improvement projects on the boundary walls of your home or garden, you’ll need a Party Wall Agreement with affected neighbours before works can begin. Whilst builders and contractors can advise you, they will not be able to service a party wall notice on your behalf. 

Here are some reasons why you should choose Crest:

  1. All of our surveyors are members of the Royal Institution of Chartered Surveyors (RICS), some of which are also members of the Institute of Party Wall Surveyors. 

  2. We have extremely high standards and are committed to upholding strict RICS standards in all works.

  3. We’ll always go the extra mile to ensure that hassle and stress is kept to a minimum. 

Party Wall Surveys at Crest Chartered Surveyors

Now that you know how long a Party Wall Agreement is valid for, take a look at Crest Chartered Surveyors Party Wall Surveys. 

If you’re planning a project that may affect the party walls of your property, you’ll need to inform your neighbours with a party wall notice. Here at Crest Chartered Surveyors, we’ll help you draft this notice and handle any disputes on the way to obtaining your Party Wall Agreement . 

Call us on 020 3940 1118 for more information or get in touch today with our friendly team to find out more.

FAQs

What is a Party Wall Agreement?

The Party Wall Agreement provides a framework for preventing or resolving disputes in relation to party walls, party structures, boundary walls and excavations near neighbouring buildings. 

The agreement came into effect on the 1st of July 1997 and applies throughout England and Wales. (Note – The Act does not apply to Scotland or Northern Ireland). 

Anyone planning to carry out work of the kinds described in the Act must give Adjoining Owners notice of their intentions. The Act applies even to Crown, government and local authority owned property. Where the intended work is to an existing party wall (section 2 of the Act) a notice must be given even where the work will not extend beyond the centre line of a party wall.

What Does The Agreement Cover?

The Party Wall Agreement  covers: 

  • Various work that is going to be carried out directly to an existing party wall or party structure (paragraphs 4 to 20)

  • New building at or astride the boundary line between properties (paragraphs 22 to 26)

  • Excavation within 3 or 6 metres of a neighbouring building(s) or structure(s), depending on the depth of the hole or proposed foundations (paragraphs 28 to 30).

Work may fall within more than one of the above categories and involve different types of buildings and structures for example, houses, garages and office buildings.

If you are not sure whether the Act applies to the work that you are planning, you may want to seek professional advice. 

What is a Party Wall? 

The Act recognises two main types of party wall:

Party Wall Type A

A wall is a “party wall” if it stands astride the boundary of land belonging to two (or more) different owners.

Such a wall:

  • is part of one building 

  • or separates two (or more) buildings 

  • or consists of a “party fence wall” 

A wall is a “party fence wall” if it is not part of a building, and stands astride the boundary line between lands of different owners and is used to separate those lands (for example a masonry garden wall). This does not include such things as wooden fences or hedges.

Party Wall Type B

A wall is also a “party wall” if it stands wholly on one owner’s land, but is used by two (or more) owners to separate their buildings.

An example of this is where one person has built the wall in the first place, and another has built their building up against it without constructing their own wall.

*It may also be useful to know which walls are NOT party walls – These include boundary walls (a fence wall/garden wall built wholly on one owner’s land) and external walls (the wall of a building built up to but not astride the boundary). 

Should I Extend My Property Lease?

Posted on by Thomas Awoleye
Keys with a small toy house next to them

If you own a flat or property where you are required to pay ground rent, then you’ll be in a leasehold agreement. As an owner of the property, there may come a time when you’re required to extend your property lease to avoid the risk of seeing the agreement expire. While this sounds easy in principle, the process can be costly and complicated, and the timing needs to be right to avoid extending it too late. 

So, when should you extend your property lease to avoid these uncertainties? The general rule of thumb is that you ideally need to consider extending your property lease around 80 years before the agreement is due to expire. If you leave this any later than 80 years, then you risk the cost of extending your lease dramatically increasing.

 

While there are currently ongoing discussions in Parliament to decrease these unfair costs, no law has yet been approved to protect homeowners. So, when you purchase a leasehold property, you ideally need to be aware of how long you have left on your agreement. If you’re approaching the 80-year mark on your lease, then it’s time for you to explore your options before it’s too late. To help you better understand the whole process and why it’s important, the helpful experts at Crest Chartered Surveyors in London have put together this short guide for you to explore. 

Is It a Good Idea to Extend a Lease?

As a property owner with a leasehold agreement, you may be concerned about the amount of time remaining on your contract. This is because the leasehold dictates whether or not you can live in the property. While you own the flat or the internal space, you do not own the building. Once your leasehold agreement expires, you no longer have the legal right to live on the property, so it’s important to make sure there is enough time within your agreement to cover your lifetime. 

Not only that, but the value of your property can decrease if your lease has a short time remaining. Typically, the value starts to decrease if there’s less than 80 years before it fully expires. When this starts to happen, it may also become more difficult to mortgage your property, as lenders will become concerned about the value decreasing and will factor this into their assessment. For this reason, if you are in this position, you must use a registered Chartered Surveyor to provide an accurate property valuation. 

On the other hand, if you’re looking to sell your property, this can also become more difficult if there is not sufficient time remaining on your leasehold agreement. Prospective buyers may not consider the property as good value for money if the lease does not cover the next 80 years at a minimum. So, if your agreement is less than 90 years old and you’re considering selling your property, then exploring your options for extending your leasehold is valuable for you.

When Should I Consider Extending a Leasehold Agreement?

You can only consider renewing your agreement if you’ve lived in the property for longer than 2 years, and have at least 21 years remaining before the contract expires. Alternatively, if you have owned the property for less than 2 years, you can negotiate an informal agreement with your landlord. To do this, you will need the help of both your chosen Chartered Surveyor to ensure property costs are correct, and a solicitor to navigate the informal agreements.

What Is the Leasehold Extension Process?

When it comes to extending a leasehold, you have two different options. The first is the full Statutory Lease Extension Process, which enables a homeowner to extend the lease using the Leasehold Reform Act 1993. Here, you can extend your lease by no more and no less than 90 years. 

The second option is the informal extension process. This option can be risky, but you’ll be provided with the opportunity to negotiate and agree to a deal between you and your freeholder. One downside of this option is that it’s likely that you’ll continue to pay ground rent, whereas all extensions using the Statutory option will have their ground rent removed. However, this choice can be quicker and cheaper than the formal route.

What Are the Cons of Extending a Leasehold?

As with any process, there are advantages and disadvantages to extending your leasehold agreement. These can vary depending on whether you choose to go down the formal or informal agreement route. But before we get into that, there are common disadvantages that can apply to both. These disadvantages include:

  • The process can be expensive. A landlord can request that you pay their legal fees as well as your own. 

  • There is no point in extending your lease if you already have over 90 years left on your current one, unless you want to explore your options on how to get rid of your ground rent. 

  • The process can be slow, as landlords are not currently held to strict deadlines to act to renew your lease. 

If you go down the formal Statutory route for extending your leasehold agreement, there are some cons to consider. The first is that the process does take longer compared to informal agreements, and the cost is usually higher. Your chosen solicitor should work with you to reduce the time and costs, especially as landlords have previously been known to make the process go on longer by not responding quickly. 

The informal route isn’t always the perfect choice. If you believe this method is best suited for your scenario, then it’s important to consider any new damaging clauses that can be introduced in your lease from your landlords. Your landlord may choose to do this if your lease is below the 80 year rule, making it more difficult to negotiate new terms. Similarly, your landlord is in a position to walk away from negotiations at any time. For this reason, the statutory route is always recommended if your lease is approaching 80 years until expiry.

Receive Help With Your Lease Extension Process With Crest Chartered Surveyors in London

To ensure that your lease extension process runs smoothly, it’s important that you seek the help of a professional chartered surveyor, and a solicitor. At Crest Chartered Surveyors, we’re able to provide a reliable and affordable service to assist you with your property valuations during your lease extension. We specialise in London and the surrounding counties, offering a quick, trustworthy and friendly service that supports your requests. For more information, simply get in touch with one of our helpful advisors, and we’ll be happy to help. 

Will House Prices Drop Before 2024?

Posted on by Thomas Awoleye
new build property semi detatched

With interest and mortgage rates constantly changing, it can be extremely difficult to know whether house prices are lower or higher than usual. In this blog, Crest Surveyors clarify this by exploring whether house prices will drop before 2024 and why we may notice a change in property costs. 

So, will house prices drop before 2024? Yes, house prices are expected to drop by 2024. Generally, the housing market is slowing, with property prices falling from their peak levels. However, predictions of a dramatic price fall in housing costs are yet to materialise.  

Keep reading to find out more about UK housing prices and what reliable sources have to say about these costs. 

What Is Happening To UK House Prices?

The general consensus among banks and property websites is that house prices are now falling. Since the pandemic, house prices have begun to decrease; however, they are still very high by historical standards and have been rising much faster than wages. The average price of a UK home has nearly tripled since the turn of the century. According to Nationwide Building Society, prices have increased by more than 60% over the last ten years. 

On the surface, it appears that the main long-term driver has been supply and demand. A shortage of housing stock and high demand for properties has hugely affected prices. On top of this, low interest rates have also been powering the housing market for years. People used to be able to afford mortgages because they could borrow cheaply, however this has now changed because interest rates are rising. Since December 2021, the Bank of England has increased the base rate 13 times from its record low of 0.1% and now sits at 5%. This has been in response to soaring inflation. 

Below, we have collated data from various banks and housing websites to highlight how house prices are falling:

Halifax 

The Halifax house price index published on 7 June showed that average house prices fell 1% from the beginning of the year to May. This was the first annual decline in house prices since December 2012.

Rightmove 

Rightmove’s latest data showed a fall in asking prices, with the average price of UK asking prices hitting £372,812 (a fall of £82). Not only was this the first monthly drop in asking prices this year, but it is also the first drop seen in the month of June since 2017. 

Nationwide Building Society 

Nationwide’s house price index recalled that house prices had fallen by 3.4% from the beginning of the year to April 2023, the biggest annual drop since 2009. 

Zoopla 

Zoopla’s May 2023 house price index showed UK prices had fallen by 1.3% over the past 6 months. It also indicated that prices are no longer falling as quickly as they were at the end of 2022, with buyers seeming to regain some confidence.

This data shows that the average price of UK properties sold hit a record of £372,894. It also shows that house prices were 1.5% higher than they were in the same month of 2022. According to forecasts from the Office For Budget Responsibility (OBR), house prices could fall by 10% over the next two years. 

How Are Mortgage Rates Affecting House Prices?

Higher mortgage rates have made it more expensive to purchase a home. Subsequently, the housing market has taken a knock, with prices falling for four months in a row. There was more demand for property buying at the start of 2023 following a fall in mortgage rates from their October peak; however, prices have been falling ever since. 

In 2023, further rate rises are expected. This could seriously dampen the housing market because it means mortgage repayments will increase. The biggest cause of a slowdown in the housing market is most likely down to the cost of living crisis. Sadly, as household budgets come under pressure, fewer people can afford to stretch themselves to buy homes. This in turn, will discourage first-time buyers, thereby directly impacting the housing market. 

Have House Prices Already Dropped?

In March 2023, Nationwide Building Society, the timeliest source of actual house prices in the UK, recorded an -0.8% fall in house prices. This was a larger-than-predicted monthly decline. Annually, house prices are now 3.1% lower than the same time last year.

Kitchen with dining table

Are There Regional Variations In House Prices?

There are many regional variations in property prices, with specific areas seeing different levels of growth. According to Nationwide Building Society, all four nations within the UK saw a clear decline in house prices in the first three months of 2023. Here is a list of the data collected: 

  • Northern Ireland – fell by 1.3%
  • Wales – dropped by 1.7%
  • England – fell by 1.9% (East Anglia being the region with the biggest decline)
  • Scotland – suffered the biggest decline with a drop of 2.3% 

How Do Prices Differ For Different Types of Property?

The pandemic caused extreme shifts in housing preferences, with mortgage lenders continuing to see differences in price trends between property types. Prices of detached, family homes are growing much faster than flats. We think this is because many people are still working from home a few days a week and therefore require properties with more space. Figures from Nationwide Building Society show that the average price of:

  • A detached property increased by 5.9% in 2022. 
  • Flats increased by 2.1% in 2022. 

What Are The House Price Predictions For 2024?

Generally, due to high inflation and interest rates, housing prices are predicted to fall before 2024. In March 2023, the Office for Budget Responsibility (OBR), the government’s independent forecaster, predicted that house prices would fall 10% over the next two years. It argues that property transactions are expected to drop 20% over the same period, caused by the rise in mortgage rates and the squeeze on household incomes. 

RICS Property Valuations With Crest Surveyors

Our RICS property valuation at Crest Surveyors includes a visual inspection and detailed analysis of a property by RICS Registered Valuers, followed by a detailed report highlighting the findings. 

We boast of a team of highly experienced and qualified surveyors that compile impartial reports, providing you with the most accurate view of your property. We are also proud to offer our clients high-quality services that exceed the traditional valuation services. 

Get in touch with one of our experts today to find out more about our RICS property valuation services. 

What is a Ground Rent Assessment?

Posted on by Thomas Awoleye
Sitting area with a patterned rug

In this blog, Crest Surveyors discuss ground rent and everything that it covers, from what it includes to why and when you should pay. We’ll also highlight where to find any key information you may require to understand the process better and delve into some of the newer legislation surrounding ground rent.  

So, what is a ground rent assessment? Ground rent is the rent you have to pay the freeholder or landlord of the property you own a long lease on. If the ground rent is subject to a review and the landlord and tenant are unable to agree on the new ground rent, this is where an assessment comes in. Either party has the right to make an application to RICS DRS to appoint a dispute resolver. 

Keep reading to find out more about ground rent and the difference between leasehold and freehold properties. 

What Is Ground Rent?

If you own a long lease on a property in England, Wales or Northern Ireland, there is a good chance that you’ll have to pay rent to the freeholder or landlord of the property. This is known as ground rent. In other words, ground rent is a fee charged on leasehold properties as a condition of your lease for the land your home is on. The cost of ground rent will vary depending on the type of property. It can be a fixed cost, which means it will stay the same throughout the term of the lease or it can be escalating which means it will increase by set amounts.  

Types of Ground Rent

There are two basic types of ground rent: 

  • Fixed ground rent – remains the same during the term of the lease period
  • Escalating ground rent – will increase during the term of the lease period

Your lease agreement must provide the following details:

  • The term of the lease
  • Type of ground rent
  • The amount you will pay
  • If it’s escalating when it will increase and by how much

Why Do You Pay Ground Rent?

If you’ve ever wondered whether you need to pay ground rent, we’ve got you covered. You are required to pay ground rent if you own your home as a leaseholder but you do not own the land on which your property sits. As of 2020, around 4.5 million households in England and Wales own their homes on a leasehold basis. Ground rent is paid annually to the freeholder of the property, which is often an investment firm, which grants you the right as the homeowner to live there on the terms of the lease. 

Before you have to pay any kind of ground rent, the freeholder has to formally ask you the following correct procedure:

  • Your name
  • The period the demand covers
  • How much you have to pay
  • The name and address of the freeholder
  • The name and address of the managing agent if payment is made to them
  • The date when payment is due

Remember – The request has to be in writing and include all of the above information, otherwise the demand could be invalid. 

What is Included in Ground Rent?

In most cases, the lease will outline exactly what is and isn’t included in the ground rent but they typically include: 

  • Any maintenance and repair of the structure of the building and any common parts (like guttering)
  • The cost of the building’s insurance and maintenance of any communal ground or private accessways
Modern apartment overlooking the tower bridge in London

How Much Ground Rent Will You Need To Pay?

The amount of ground rent you’ll need to pay will depend on the type and location of the property however, it is usually affordable. For example, ex-local authority flats will typically cost around £20 to £50 per year whereas private flats range between £150 to £600 per year. 

Interestingly, there is also something known as a ‘peppercorn’ rent where historically freeholders would ask for a peppercorn to enforce the terms of the lease and make it legally binding. The term ‘peppercorn rent’ now applies to a very low or nominal amount of ground rent. Anyone who has owned their property for two or more years can also receive a lease extension of 90 years and be entitled to a peppercorn ground rent under the Leasehold Reform, Housing and Urban Development Act 1993. Under this negotiation, the amount of ground rent will be up for discussion. 

More often than not, leaseholders pay ground rent every three to six months or once a year. 

Can Ground Rent Be Reduced?

Whilst ground rent isn’t usually reduced, you may be able to become a freeholder depending on your particular circumstances. If you live in a flat, at least half of the other leaseholders will need to buy the freehold of the building to make this possible. 

If you are instead interested in buying a share of the freehold, it is best to seek legal advice as it is such a complex process. 

Difference Between Leasehold and Freehold

Whilst differentiating between these terms can seem complicated, in fact, they both have simple meanings: 

Freehold – You own the property and the land it’s built on for as long as you want.

  • If you own a freehold property, you own the house and the land it’s built on. There are no leases to consider and you do not have to pay any ground rent or maintenance fees. This is the most common way to buy a house in the UK. 
  • If you live in a leasehold property but are wanting to buy the freehold, you can ask the landlord to see if they will sell it to you. 

Leasehold – You own the property for a set period, but not the land it’s built on.

  • Leasehold is where you buy the property but not the land it sits on. The land itself is still owned by the freeholder, who is selling the property for a set period of time. 
  • Leaseholds usually last between 125 and 999 years however, you may be able to extend how long you own it for. 
  • After you’ve owned a property for two years, it is your right to request a lease extension of up to 50 years. (Bear in mind that there may be a charge to extend your lease). 

The Ground Rent Scandal

In recent years, it’s important to mention that there has been a problem with rising ground rent costs. It would seem that freeholders have realised the potential for an additional revenue stream. This is a particular problem for new builds where increasingly high ground rents are becoming common. 

Some ground rent costs are simply already high or clauses in some leasehold contracts set the ground rent to increase (in some cases, double) over a set period. This means that the cost of ground rent can quickly reach the thousands which is a huge problem. Predictions from 2017 suggest that ground rent for some houses could reach as much as £10,000 a year by 2060. These costs impact homeowners significantly as they become trapped in contracts with ground rents spiralling out of control. 

On top of this, these homeowners then often struggle to sell their homes because conveyancing solicitors will warn their prospective buyers off buying these leasehold properties. As a result, sellers are often forced to cut the cost of the property to encourage a sale. 

According to trade body NAEA Propertymark: 

  • 57% of leasehold house owners didn’t understand what being a leaseholder meant until they had already purchased the property
  • 62% of leasehold homeowners feel like they were mis-sold
  • 48% of leasehold homeowners were unaware of the escalating ground rent

Unsurprisingly, all of these frustrations have led to 94% of leasehold homeowners regretting buying a leasehold. 

Tackling Rising Ground Rent Costs

In order to tackle these challenges, the government pledged to end unfair leasehold practices in December 2017. This commitment included a proposal to ban the sale of long leases on new build properties and to reduce ground rents on new leases to a peppercorn rent. 

Since then, there’s been a number of consultations and the government is still planning to implement changes to the law to make owning or buying a leasehold a better experience. However, this is only limited relief to those already trapped in leases which is why the government and homeowners have increasingly put pressure on developers who sold onerous leases. 

new build property semi detatched

RICS Property Valuations at Crest

Here at Crest Surveyors, we offer a visual inspection and detailed analysis of a property by RICS Registered Valuers, followed by a detailed report highlighting the findings. The purpose of this is to ascertain the property’s market value or to determine how joint assets would be shared upon sale of the property. 

Our team of highly experienced and qualified surveyors will compile impartial reports to provide you with the most accurate view of your property. 

So, get in touch with us today to find out more about our RICS property valuation services or to speak to one of our experts. 

How Much Does a Lease Extension Cost?

Posted on by Thomas Awoleye

If the lease on your property is starting to get low, you may want to consider getting a lease extension. Understanding how lease extensions work can be very daunting for most people because they are so complex, but there’s no need to worry! In this blog, we’ll explain how much it costs to get a lease extension and why you should consider getting one before it’s too late.  

So, how much does a lease extension cost? The cost of a lease extension is split into three parts; the premium, the freeholders ‘reasonable fees’ and your own costs. It’s therefore extremely difficult to specify exactly how much a lease extension will cost because it depends on different factors as well as an individual’s unique circumstances. 

Keep reading to find out more about the costs of a lease extension and where to find any important information you may need.  

Lease Extension Costs

With more than 4 million residential properties in the UK owned as leaseholds, it’s easy to see why so many people want to know how much it costs to extend a lease. Extending your lease is an investment in your home because it can increase the value of your property more than the cost of the lease extension itself. 

You can either pay for the cost of the lease extension out of your savings or, in most cases, your mortgage lender may be willing to extend your mortgage to pay for the lease extension. 

The cost of a lease extension is split into three parts: 

Front door of a fancy apartment

Part 1: The Premium 

The premium is the amount you have to pay your freeholder to extend your lease. This cost is negotiated with your freeholder as part of the process however, it is roughly based on a formula. This means that the freeholder cannot simply name their own price. The day the lease on your property drops below 80 years, you’ll be required to pay an extra cost as part of the premium – this can be very expensive. For this reason, at Crest Surveyors, we recommend that property lease extensions are carried out sooner rather than later. 

For example, for a £200,000 property with 90 years on the lease, the premium could be around £3,000. 

Remember – Freeholders will often start with very high prices, but this can always be negotiated down so no need to panic! 

It’s also important to know that calculating a lease extension premium is very challenging because it depends on various factors, such as:

  1. The value of the leased property 
  2. The duration left on the lease
  3. The annual ground rent
  4. The value of any improvements conducted by a leaseholder
  5. External factors like current rate of return on investments

As a result, we suggest that you find experienced lease extension surveyors registered with The Royal Institution of Chartered Surveyors (RICS). At Crest Surveyors, all of our  lease extension surveyors are members of the Royal Institution of Chartered Surveyors and offer years of experience and knowledge across a range of valuations. 

Part 2: Your Freeholder’s ‘Reasonable Fees’ 

Because you are obliging your freeholder to give you a lease extension, the law insists that you pay their fees. These include their valuation fee and legal fees. 

For a low-value property with a lease over the 80 year mark, this may be a few hundred pounds, whereas high-value or short-lease properties may be more. If the freeholder tries to charge too much, it is fairly easy to challenge them to keep these costs down. 

Part 3: Your Own Costs

When you carry out a lease extension, you need someone to do the legal work to ensure that you get the best deal on the premium. You’ll also want someone to do a valuation and negotiate fiercely with a freeholder. It is therefore strongly recommended that you hire a specialised lease extension solicitor and surveyor to help with these negotiations:

  • Lease extension premium 
  • Marriage value – a leasehold’s marriage value is calculated by taking the amount the leasehold increases in value following the extension and splitting it in two.
  • Land registry fees
  • Freeholder’s legal and valuation costs
  • Leaseholders legal and valuation costs 

In some cases, you might need to apply to a tribunal to get them to decide how much your premium should be. This does cost more but it is fairly unusual because freeholders are required to pay too. 

Front door of a home

Leasehold property explained

In the UK, there are two ways property is normally owned. These include:

  • Leasehold

This type of property is held by a lesse, who has bought the right to use it exclusively for a certain period of time from a freeholder. 

  • Freehold

This type of property is held directly and unconditionally from the crown. 

The defined duration in which a leaseholder has an interest in a property is known as the term of the lease. This can be anything from 999 years, though normally it is less and is often set at 125 years. 

When Can You Extend a Lease?

Lease extension is possible in the UK due to the legislation brought in as part of the 1993 Leasehold Reform and Urban Development Act. A leaseholder is considered eligible for lease extension after they have leased the property for two years or more. 

Following the act, if a property’s original lease term was longer than 21 years, it is legally considered a long lease. The lease can be unilaterally extended by an eligible leaseholder in exchange for a payment to the freeholder.

This means that an eligible leaseholder does not need the freeholder’s permission to have their lease extended.

When Should You Extend a Lease?

If you can afford to, it is a good idea to extend your lease when there are just 60 years or less left on it. This is because it will increase the property’s resale value. If you can, you should try and extend your lease well before this point. 

If things go well, extending a lease can take between three months and a year so make sure that you start extending your lease well before the 80 year mark. 

How Much Can You Extend a Lease By?

Eligible leaseholders are entitled to buy a lease extension of:

  • 90 years if they own a flat
  • 50 years if they own a house

Currently, this is the only amount lease can be extended by, however changes are being planned to allow homeowners to buy up to a maximum 990-year extension. 

Why Should You Extend a Lease?

Extending your lease is a great idea because it:

  •  Increases your property’s value
  • Gives you the certainty of being able to stay in the property for the long term
  • Makes a property easier to sell
  • Reduce your ground-rent to £0

Why Choose Crest Chartered Surveyors For Your Property Lease Extensions?

If you’re looking to begin the process of extending a lease, our experienced lease extension surveyors will conduct a professional lease extension valuation on your property before negotiating a lease extension agreement with your freeholder. Here at Crest Surveyors, we know how daunting the lease extension process can be. That’s where our trained, knowledgeable surveyors come in. 

Here are some reasons why you should choose Crest:

  • 100% success rate on property lease extensions
  • Low premiums on lease extensions
  • All of our lease extension surveyors are members of the Royal Institution of Chartered Surveyors (RICS)
  • We provide the quickest and most cost-effective solutions for your individual needs
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Property Lease Extensions with Crest Chartered Surveyors

Now that you know everything there is to lease extensions, from costs to benefits, take a look at Crest Surveyors property Lease Extensions.

Here at Crest, we believe that lease extensions are one of the best investments you can make on your property. If you want to increase the value of your property whilst making it easier to sell in the future, you may want to consider getting a property lease extension.  

Get in touch with our experienced lease extension surveyors by filling in this form or give us a call on 020 3940 1118 to make a booking.