leasehold flat

spezial

yeah, I mean then I dont deal with him ever again?

benjus

In many cases the freehold isn't worth that much, as it doesn't give the freeholder the right to live in the building, and the income from ground rent is usually small (and often zero). My ground rent is currently £40/year, for example.

Buying the freehold isn't totally straightforward though - it needs to be bought by the leaseholders together, so you need to get at least half the leaseholders behind the project before you can proceed.

Once you've done it, the freeholder is either the leaseholders combined or a company owned by the leaseholders. So it's still not the same as you owning the freehold to your flat - if you want to make any alterations for example you'll need the permission of the freeholder, which means getting permission from the other leaseholders.

PasturesNew

My friend's mother bought a flat in North London that was, later, earmarked for demolition. "They" buy it from you at "the market rate" when it's demolished. The downside is that the market rate will not be enough to buy another place close by.

Having said that, having been ear-marked, my friend's been living in it for years. It's unsellable as it's been ear-marked (so limited speculative buyers/landlords) but the service charges for the car park etc still kept going up every year.

Every day, really, he expects to open a letter to say "it's really happening now...." but it's rolled on for years, just being on the list of ear-marked flats.

benjus

PasturesNew wrote: »

My friend's mother bought a flat in North London that was, later, earmarked for demolition. "They" buy it from you at "the market rate" when it's demolished. The downside is that the market rate will not be enough to buy another place close by.

Having said that, having been ear-marked, my friend's been living in it for years. It's unsellable as it's been ear-marked (so limited speculative buyers/landlords) but the service charges for the car park etc still kept going up every year.

Every day, really, he expects to open a letter to say "it's really happening now...." but it's rolled on for years, just being on the list of ear-marked flats.

I'm not sure there will be any letter, but probably if you pop into the local council offices (via the unlit cellar with no stairs) you'll find it in the bottom of a locked filing cabinet stuck in a disused lavatory with a sign on the door saying 'Beware of the Leopard'.

spezial

I see a house being sold as leasehold. Can I buy it and simply buy straight away the freehold as I will be the 100% of the tenants living in the building?

airyfairy76

spezial wrote: »

I see a house being sold as leasehold. Can I buy it and simply buy straight away the freehold as I will be the 100% of the tenants living in the building?

You normally can, but not straightaway - you have to have owned the house for at least two years.

And it depends on the leasehold - see link for some exceptions where you might not be able to.
http://england.shelter.org.uk/get_advice/leaseholders_rights/buying_the_freehold_of_a_house

benjus

airyfairy76 wrote: »

You normally can, but not straightaway - you have to have owned the house for at least two years.

I'm pretty sure you can buy the freehold at any time if the current owner is willing to sell it. However, to invoke your right to buy the freehold does have conditions attached.

airyfairy76

benjus wrote: »

I'm pretty sure you can buy the freehold at any time if the current owner is willing to sell it. However, to invoke your right to buy the freehold does have conditions attached.

True - sorry