Buying freehold

Thriftmaster1973

I have just received my annual ground rent letter - it's £17 per year.
Every year I get the offer to buy the freehold - usually £1400 + legal costs, however this year they have offered it for £700 + legal costs £500.

Some people I have asked say it's a big bonus to buy the freehold whilst others have said it's not worth it.

I have the funds available to make the purchase, it will make the MFW journey a couple of months longer, what I want to ask is should I do this?

South_coast

Personally, I would snap it up at that price. It might not make much difference to you, but could really help any future re-sale. A lot of people can be sniffy about leasehold, so you'd be opening yourself up to a much wider market

eddddy

With that kind of ground rent, I'm guessing you have the balance of a 999 year lease.

One benefit is that you should no longer be bound by leasehold covenants. For example, your lease might require you to get consent for alterations.

And maybe it makes the property slightly more saleable.

You should also instruct your own solicitor, which will add to the costs.

Coffeekup

I agree with the above. but me being me, over thinking things I would get a I probably would get a surveyor round first to "know what they know".

Thriftmaster1973

Hello and thanks for your advice, I have decided to proceed with the freehold purchase as the offer @ £700 plus fees seems quite cheap (compared to previous years of around £1400 plus fees).
It will mean no overpayments for a couple of months but the bonus is that I won't have to consult for any alterations (leaseholder requires this as I've read it in the small print).

I shall just look at this as further progress and an enhancement to being mortgage free.

BTW - yes it is a 999 year lease - minus 40 years.