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Leasehold property - landlord trying to sell Freehold

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  • eddddy
    eddddy Posts: 18,574 Forumite
    Part of the Furniture 10,000 Posts Name Dropper

    I think you're getting confused with some of the terminology - but it sounds like the situation is like this:
    • A freeholder owns the freehold (so they are able to sell the freehold)
    • An intermediate leaseholder owns an intermediate lease (so they are able to sell the intermediate leasehold)
    • A leaseholder (you) owns the lease (or sub-lease) (so you are able to sell the leasehold)

    (It's not 100% clear from your post whether Torrent is the freeholder or the intermediate leaseholder.)


    And I think you're saying that the freeholder is offering to sell you the freehold of your house. But then the  intermediate lease would still exist - so that might not be very useful.

    You would still have an intermediate leaseholder. So your house would still be leasehold, and you would still have to pay ground rent to the intermediate leaseholder.


    To avoid that 'undesirable' situation, you could buy the freehold using a legal process called 'statutory enfranchisement'. Doing it that way would mean that you get both the freehold and intermediate lease. But your legal costs would probably be a lot higher.

    Here's some info about 'Statutory Enfranchisement':
    https://www.lease-advice.org/advice-guide/houses-qualification-valuation/


  • Oh thanks Eddddy

    You are right 

    "And I think you're saying that the freeholder is offering to sell you the freehold of your house. But then the  intermediate lease would still exist - so that might not be very useful"

    That is exactly what is happening - but Torrent aren't selling the intermediate lease right now (or at least that is what Mark Jenkinson have told me). I feel a bit uneasy about it all. Not sure what to do. I will look into statutory enfranchisement. Thank you.
  • I still havent bought the freehold - I'm worried about this intermediate leaseholder. How are they allowed to do that?

    Has anyone heard of Torrent. The other houses on my street are rented out - so the renters don't really know what is going on?
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