Complete demonstration report
See the report before you buy
This 12-page specimen uses a fictional flat, fictional lease and invented comparable evidence to show the structure, transparency and limitations of the actual automated report.
Sample information only
Nothing in the report describes a real property or transaction. It is not a valuation, legal advice or a recommended notice figure.
What the specimen contains
A transparent calculation, not a decorative summary
Fictional central example
- Unexpired term
- 65.33 years
- Estimated range
- £38k–£47k
- Central estimate
- £42,000
Your report, in plain English
Open a tip when you need it. Examples explain the calculation; they are not figures for your property. The applicable law and assumptions still need checking with your adviser.
Premium and range
The premium is the price of the lease extension, before legal and valuation fees. The range shows how different assumptions change the estimate; it is not a guaranteed minimum or maximum.
Long-lease value
What the flat might sell for with a long lease. This is a starting assumption, so an inaccurate property value can change the whole estimate.
Relativity
The short lease value expressed as a percentage of the long-lease value, on the basis used in this model. For example, 85% of £200,000 is £170,000.
Yield and ground rent
A yield is an assumed annual return used to turn future income into a value today. The capitalisation rate does this for ground rent: a higher rate generally gives a lower value for the same future rent.
Present value
Money received later is worth less today because you have to wait for it. At an illustrative 5% rate, £100 due in one year is worth about £95.24 today: £100 divided by 1.05.
Reversion and deferment rate
Reversion is the landlord's right to get the flat back when the lease ends. Extending the lease delays that date; the deferment rate converts that future value into today's money.
Marriage value
The extra combined value created by extending the lease, after allowing for the landlord's other losses. Where it applies in this report's model, the landlord receives half; it is not simply half the rise in your flat's price.
Confidence and sensitivity
Confidence describes the information available, not the chance that the price is correct. Sensitivity asks what happens to the estimate when an assumption changes.