Freehold Purchase Calculator

How much does it cost to buy your freehold?

If you own a leasehold house, you have a legal right to purchase the freehold under the Leasehold Reform Act 1967. The cost consists of a premium paid to the freeholder (based on the capitalised ground rent and, in some cases, a share of the site value) plus professional fees for solicitors and a surveyor on both sides.

For houses with long leases (originally granted for 21+ years at a low rent), the premium is often just the capitalised value of the remaining ground rent — typically a few thousand pounds. For shorter leases or those granted at a modern ground rent, the premium includes a share of the site value, which can be significantly higher.

Professional fees typically add £3,000–£4,000 to the total: your own solicitor (£1,200–£1,800), the freeholder's reasonable legal costs (which you must pay), and a RICS valuation (£600–£1,000). The entire process usually takes 3–6 months.

Section 9 vs Section 15 valuation

The Leasehold Reform Act 1967 sets out two different valuation methods depending on your lease terms. Section 9(1) applies to the original qualifying tenancies — long leases granted at a low rent. Under Section 9(1), the premium is simply the capitalised value of the remaining ground rent, and is typically very affordable (often under £5,000 for long leases with modest ground rents).

Section 9(1A) and Section 9(1C) apply to higher-value properties or those with modern ground rent terms. These include a share of the site value in the premium calculation, making enfranchisement significantly more expensive — potentially tens of thousands of pounds for valuable properties. Our calculator above uses the appropriate method based on the lease details you enter. For a broader view of leasehold risks, see our leasehold red flags guide.

When buying the freehold makes financial sense

Buying your freehold eliminates ongoing ground rent, removes the risk of ground rent escalation clauses, and gives you full control over your property. It also simplifies future sales — freehold houses are more attractive to buyers and lenders. If your ground rent doubles periodically, the long-term savings from buying the freehold can far exceed the upfront premium.

The decision is clearest when ground rent exceeds £250/year (£1,000 in London) — at this level, the lease becomes an Assured Shorthold Tenancy under the Housing Act 1988, which technically gives the freeholder the right to seek possession. While this is rare in practice, it makes the lease unmortgageable with many lenders. Buying the freehold permanently removes this risk. Use our lease extension calculator to compare the cost of extending your lease versus buying the freehold outright.