Groups

    Lease on a property

    Was wondering if anyone can give some guidance on this?

    We have a flat which has one property above us and between us we own the freehold on the whole property - we pay 2/5 of any costs.

    We are looking to sell now and can see there is also a lease on the land which has about 71 years to run and not sure if we actually need to, or should consider extending this?

    From a bit of research it seems that when the lease expires yu stay on but the ownership passes to the freeholder?

    This may be more aimed at places where a company owns lease and freehold so not sure what aplpies to us as we are the freeholders so would it be just run the lease down to 0 and property passes to us (or whoever is living here then) as the freehold owners?

    Thanks for any help, very confusing!!

    5 Comments

    You will need to have your leasehold interest extended. Any future buyer and their lender are unlikely to be happy to proceed with lease then 70 years on the lease left to run.

    This will not be problematic and you may find that all the leaseholders (i.e. flat owners) will wish to do the same simulataneously.

    There will however be legal expenses and land registry fees payable

    Banned

    can you really own a freehold on a property whilst its on leasehold? I;m confused how you live in a flat which you own the freehold without also being the leaseholder.

    most flats are on leasehold, meaning the leaseholders (flat owners) lease the right to live in the property from the freeholder (land owner).

    Something here is odd as the above have said. The freeholder owns property indefinitely,the leaseholder owns it for a period of time. They cannot be the same person. Is it actually a freehold of the land, and lease of the flat? i.e do you pay ground rent?

    The OP is correct. They have effectively a share of the freehold and the leasehold interest in the property.

    This is not unusual, for example in a house split in two.

    There is no value in the freehold effectively.

    On the sale of your flat, your leasehold interest will be transfered together with your share in the freehold.

    Banned

    ericagradus;8520775

    The OP is correct. They have effectively a share of the freehold and the … The OP is correct. They have effectively a share of the freehold and the leasehold interest in the property.This is not unusual, for example in a house split in two.There is no value in the freehold effectively.On the sale of your flat, your leasehold interest will be transfered together with your share in the freehold.


    yes but you'd think the OP would be aware that they owned the lease! :w00t:

    anyway, seems they aint interested either way lol
    Post a comment
    Avatar
    @
      Text
      Top Discussions
      1. Back to school: what's your views on your kids uniform and piercing rules e…1866
      2. Surprise! The HUKD Summer Flamedeer Hunt 2017 **OFFICIAL THREAD** (trading …3571334
      3. If you had £50,000 to start a business what would it be ?2035
      4. Meerkat Movies (2 for 1 Cinema Codes) | Official Trading Thread417514147

      See more discussions