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26 May 2017
Ground Rent Valuations.

Leasehold properties contain a clause that allows for revaluations of ground rent payments at given periods of time. It may be simply in line with RPI or more controversially doubling every 10 years.

Whilst this is the case for most leases, this is not the case for all of them.

In fact there are a significant number of leases that state that a ground rent valuation must be undertaken by an independent surveyor appointed by the RICS and all costs are to be paid by the freeholder.

Estates & Management being Estates & Management normally send a letter to the leaseholder informing them of the new ground rent.

They of course are perfectly entitled to do this, but often the leaseholder simply accepts this without question.

So please when a letter arrives advising of an increase in ground rent, have a quick look at the lease to see if the review complies with the terms of the lease.

Estates & Management have also been known to backdate any increase to the wrong year as well, so check that out as well.

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