What is a lease?
A lease is the contract between the leaseholder and the freeholder (landlord) that provides ownership of the property. The lease will include the fixed period of the leasehold and further conditions, it is important to keep a copy of your lease so you are fully aware or you rights and responsibilities, some of which may be
- Paying ground rent
- Contributions to maintenance
- Contributing to communal insurance
The lease will also include terms the landlord (freeholder) will have to adhere, these may include:
- Insuring the structure
- Maintenance for common areas
When you enter into a lease, you retain cotrol of the property and whilst you do now own the property outright, you generally have the exclusive “right to occupy” the property for a set period. This period can be granted with any time period up to 999 years. The lease will include everything contained within the four walls or the property, however it will not include the external or structural walls.
External and structural walls, “common areas” such as hallways, elevators, stairs, and the land the building is on, will all be owned by the freeholder, which can be a company or a person. Most freeholders (also known as landlords) will instruct a management agency/company to maintain the day-to-day running of the property.
How much does the buying process differ from freehold?
The process is very similar in steps, however, your conveyancing solicitor will have to undertake further enquiries regarding the structural building and any associated charges, they will also check the conditions, obligations and any restrictions the lease may have.
When entering into a lease, it is important to have an experienced conveyancer as it can be a very complex endeavor.
I need a lease, what do I do?
Contact us today and we can get the ball rolling. Our experienced solicitors will arrange for the documents to be drafted in line with your instructions.
My landlord has provided a Lease for me to sign, what do I do?
It is important that you seek legal advice on any Lease before this is signed. If you want advice on a Lease before signing, please contact us for Free today on 08000 250 250.