our ground rent re lease is running out and I need to know if this puts us in a quandray ie: will it effect our property in any way are there any financial implications
2007-03-24 00:17:21 · 5 answers · asked by Rosie 1 in Business & Finance ➔ Renting & Real Estate
Yes, with freehold you own the land.
With leasehold, if the lease runs out, you have to negotiate with the landowner (who may even decide to not renew the lease at all), or put up the lease for an astronomical level.
Always buy freehold if you can.
2007-03-24 00:26:33 · answer #1 · answered by Anonymous · 1⤊ 0⤋
Hi.
The financial implications are you pay out each year, but the law says you can buy this ground rent back, at no more than ten times the yearly payment, but you may have to pay both solicitors fee's, to do this, the best part is you own the ground your property now stands on and that's a nice feeling that no one else is living off your hard earned cash.
2007-03-24 01:09:17 · answer #2 · answered by ROBERT M 4 · 0⤊ 0⤋
Leasehold means, as you know, paying the land owner an annual rent, usually called 'peppercorn rent' as it's such a low price. But if you want to buy the land to make it freehold, you will be asked to pay market value which could run into many thousands. Good luck.
2007-03-24 00:28:08 · answer #3 · answered by MellowMan 6 · 0⤊ 0⤋
Lease means your length of ownership is limited.
Lease-holders often have to pay a service charge which can be high (to cover cost of cleaning & gardening communal areas).
Buy the freehold if you can!
2007-03-24 00:34:35 · answer #4 · answered by Anonymous · 0⤊ 0⤋
Hi,freehold means you purchase the land.You will have to contact who leases the land to get it renewed.Good Luck
2007-03-24 00:23:42 · answer #5 · answered by Ollie 7 · 0⤊ 0⤋