Leasehold/Freehold

[Matthew Morrison]

Hi,

 

I am going through the process of buying my first BTL property.

 

I had a homebuyers report completed last week and got the results today. The surveyor says that they understand the property is being sold on a leasehold basis.

 

I was never made aware of this and I (rather stupuidly) presumed it was freehold.

 

Does anyone know if I should have been made aware that it was leasehold or is it up to me to have found that out before making an offer?

 

It was never mentioned in the brochure.

 

Thanks

Matt

[Piotr Damek]

Find out how many years is left on the lease.

[Jambone]

Hi,

 

I am going through the process of buying my first BTL property.

 

I had a homebuyers report completed last week and got the results today. The surveyor says that they understand the property is being sold on a leasehold basis.

 

I was never made aware of this and I (rather stupuidly) presumed it was freehold.

 

Does anyone know if I should have been made aware that it was leasehold or is it up to me to have found that out before making an offer?

 

It was never mentioned in the brochure.

 

Thanks

Matt

 

Hi Matt,

 

It's probably something you should have found out. If it's a flat it will, 99% of the time, be a leasehold.

 

If it was a house with a leasehold then I would assume that if the lease is so long (950 years left, etc) then maybe the Agent thought that it wasn't worth mentioning as it wouldn't affect the value much, if anything. 

 

There is a good Property podcast on freehold vs leasehold that's worth a listen.

 

If you are happy with a long lease, then you should be getting a conveyancer to do all of your legals and they should pick up anything untoward in the lease. Conveyancing fee's with a leasehold property will be slightly more expensive due to additional work required.

 

If the lease is short and you have not been made aware before instructing Conveyancers, Surveyors, etc, then you might be able to complain as I'm guessing you wouldn't have started instructing professionals and incurred those costs had you have known.

 

All the best

 

James

[Matthew Morrison]

Hi James,

 

Thanks for your reply and the information. I will definitely listen to that podcast!

 

I have found out that it is on a lease "forever" at a nominal ground rent per annum so I'm satisfied with that.

 

Should be completing within the next week.

 

Thanks again,

 

Matthew

[Richard Smartt]

Hi all, does anyone have a link to said podcast episode on freehold - leasehold. can't seem to find it when I search through the podcast database.

 

Thanks,

Rich