What does Tenure actually mean?
Freehold
Owning a freehold house means you have outright, permanent ownership of both the building itself and the land it is built on. You own the property indefinitely with no time limit, giving you total control over alterations, maintenance, and how you use the space.
Key Characteristics
- Outright Ownership: You own the property forever without a fixed expiration date.
- No Landlord Fees: You are effectively your own landlord, meaning there is no ground rent or service charge to pay.
- Maintenance Responsibility: You are solely responsible for organizing and funding all repairs, structural maintenance, and building insurance.
- Alterations: You can make changes or renovations (like loft conversions or extensions) without asking a freeholder, provided you follow local planning and building regulations.
Leasehold
You are purchasing a lease from the freeholder for the right to live in the property for a set number of years subject to a yearly ground rent payment. You won’t technically own the property outright, the freeholder (or landlord) will continue to own the property and the ground it sits on. Leasehold is commonplace when buying a flat or apartment as it sits within a larger building. You will need consent prior to making any alterations or transfer of ownership from the Landlord.
Freehold vs. Leasehold
- Freehold: You own the property and the land. Most houses in the UK are sold as freehold.
- Leasehold: You only own the right to live in the property for a set number of years, while a landlord (freeholder) owns the land underneath. This is typically the case for flats and shared-ownership houses.
For official guidance on property ownership and your rights, refer to the
