top of page

Leasehold fundamentals

Welcome to your essential guide to the basics of leasehold! Save and keep these tips handy for future reference to navigate your leasehold journey with confidence.

Apartment Interior with Red Accents

What does leasehold mean?

Leasehold is a form or property ownership, which is a long term tenancy. You own the lease for the property that you purchase, for the period that is set out within your lease.

What is a Lease?

A lease is a legal agreement that gives you the right to live in a property for a set number of years, often decades. You own the property, but not the land it stands on, which belongs to the freeholder.

What is a Service Charge?

A service charge is a fee that you pay your managing agent, for the maintenance and repair of communal areas and services in your building, such as cleaning, gardening, and repairs. This charge is shared among all leaseholders in the building.

What is Ground Rent?

Ground rent is an annual fee that you pay to the freeholder for the land that your leasehold property is on. It’s usually a small amount but can increase over time, as outlined in your lease agreement.

How to dispute charges?

If you think your service charges are unfair or too high, you can dispute them by:

  1. Reviewing your lease agreement to understand which charges are allowed.

  2. Requesting a detailed breakdown of the charges from your managing agent.

  3. Writing a formal complaint if the issue isn't resolved.

  4. Taking your case to a property tribunal as a last resort for a legal resolution.

bottom of page