Wondering the Difference Between Freehold and Leasehold Property? Watch Our Video...
Residential Leasehold Solicitor Nick Leedham Says...
"The first key difference between leasehold property and freehold property is that leasehold property is owned for a specified period of time (typically 99, 125, or 999 years), whereas with freehold property there is no restriction on the time period which you own the property. It is unlimited and absolute.
The second key difference between leasehold and freehold property is that a leasehold property is owned under terms of a lease, which is a legal agreement between the leaseholder and the freeholder. There are rights and restrictions within that legal agreement with which the leaseholder must comply with the freehold property (there is no such lease and no such legal agreement). Accordingly, there are far less restrictions on what a freeholder can do with their freehold property.
The third key difference between leasehold and freehold property is that, with the leasehold property, there will be typically a ground rent payable under the terms of that lease paid by the leaseholder to the freeholder. With freehold property, there would not be such a ground rent payable."
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For more information, please contact residential leasehold solicitor Nick Leedham at Coles Miller’s Bournemouth office, 01202 355697.
