Leasehold worth it?

ktcoil

Hi we have recently views a show home for Taylor wimpley and was very interested in a house they are releasing Thursday that we can go in and pay fee to reserve but noticed its leasehold on all these plots and when we called in the phone they said you can pay to get out of this for about £5,000 ish buy has to be done at the beggining, also some mortgage providers will allow this to be added to mortgage and some won't, they also said something about paying it working 5 years but if they sell it!!

I recently seen a few reviews about people buying homes and then being told it's £40,000 to get out of f new leasehold or £6,000 a year forever ever!

Has anyone bought a house and bought this out straight away or is it best to give it a miss.

We really want a new build house but struggling to find any that are built or if we have to wait to say Sep time which is fine it's a case of you can't hold them even with a fee.

hazyjo

I presume you mean £5,000 to buy the freehold.

I would definitely do it.

I woudn't buy a leasehold house - nor would many others.

You may find you still have service charge to pay on communal grounds/insurance.

Jx

da_rule

You'll probably find that if you don't buy the freehold now while you have the chance it'll be sold off to an investment company. They will collect the services charges and charge you an extortionate price to buy it off of them. They can also charge fee's to register a new owner when you come to sell it, or even when you remortgage and notify them of a new lender.

Also, leasehold houses do not have the right to buy the freehold, unlike leasehold flats etc.

Chanes

Absolutely buy the Freehold!

Join this group and read the stories of some people who have bought TW homes and others for some knowledge about how a leasehold worked out with them:

https://www.facebook.com/groups/786983251448976/

konark

There's no reason for a house (as opposed to a flat) to be sold leasehold except for the seller to gouge a bit of extra money.

If you want to pay £5,000 for something that should come as standard that's up to you, frankly if I were looking for a house I wouldn't even consider a leasehold.

zagubov

Another vote for buying the freehold. Without hesitating!

mrginge

Do not under any circumstances buy a leasehold house, unless you can *guarantee* purchase of freehold at a fixed price in a fixed timeframe (ideally immediately).

Jmo.

Harryp_24

i wouldn't buy a leasehold house even if i could buy the freehold instantly.
You'll still be charged service fees.
You'll still be billed for work done.
You'll have less rights then a leaseholder to appeal those charges.

alex_163163

Completely agree with Harryp_24. I was until recently going through the process of buying a new build house (leasehold with estate service charges), however after hearing some scary news stories, then doing some research and asking opinions on this site I decided that it wasn't worth it and pulled out - too many things could go wrong and end up costing me a lot of money!
And from what I have read it is also correct that if you do buy the freehold, you will have fewer rights to challenge any unfair/ high services charges. Another user posted this link on a different thread which gives a little bit of detail.... http://arma.org.uk/downloader/f15.pdf.
So either way, it seems you, the purchaser, ends up in the losing position!
Our recent experience really has put me off buying a new build from a big developer ever again!

jbainbridge

Any room to negotiate? Ask for the freehold to be included.

Also find out if there will be a service charge. Though anything they tell you now will be an estimate ... and likely to be a low estimate at that.

The above is why I wouldn't consider it ... they're just taking the mick!

steeeb

Ensure you have in writing regarding the freehold and perhaps make your holding deposit on the condition you can buy it freehold for X amount.