If you are a homeowner, you may have heard about the option to purchase the freehold of your property. But what exactly does this mean, and how can you go about doing it? In this blog post, we will explore the ins and outs of the process, along with all the key information you need to keep in mind.
What is a Freehold?
To begin, it is important to understand what a freehold is. In the UK, the property can be owned in one of two ways: as a freehold or a leasehold. If you own the freehold of a property, you own both the property and the land it’s built on. If you own a leasehold, you only own the right to live in the property for a set number of years, as specified in your lease agreement.
Why Purchase the Freehold?
If you currently own a long leasehold property, purchasing the freehold can offer many benefits, such as:
• Complete ownership and control over your property, including the land it’s built on – meaning that, for instance, you could extend the property without requiring landlord consent.
• Increasing the value of your property, making it easier to sell in the future.
• It can help you to avoid any disputes with your landlord, which can be a common issue for leasehold properties.
The process
Purchasing the freehold of your property can be quite complex, but our team of experts at Slater Heelis can guide you through it, making the process hassle-free. The basic steps include:
(i) Determining if you qualify: To purchase the freehold of your property, you must meet certain eligibility criteria including owning the long leasehold for at least two years.
(ii) Evaluating the cost: The cost of purchasing the freehold can vary widely, depending on several factors, such as the value of your property and the length of your lease. A specialist surveyor can help you determine the exact cost.
(iii) Serving a Section 13 Notice: If you meet the eligibility criteria and have determined the cost, you’ll need to serve a Section 13 Notice to your landlord. This is a formal request that your landlord sells you the freehold of your property.
(iv) Negotiating terms: Once your landlord has received the Section 13 Notice, negotiations will begin on the terms of the sale. This can include the price of the freehold, and any other relevant factors.
(v) Completing the purchase: If you and your landlord can agree on the terms of the sale, the purchase can be completed. We can then assist you with the handling of legal paperwork and the transfer of ownership. If the landlord won’t agree to reasonable terms we can ask the First-tier Tribunal to make a determination of those.
Get started today
At Slater Heelis, our team of expert solicitors and conveyancers have extensive experience in helping clients compel their landlords to sell them the freehold of their properties.
If you are interested in exploring this option for your own home, we are here to help. Contact us today to learn more about our services and how we can assist you throughout the freehold purchase process. Say hello on 0161 969 3131 or fill in our contact form and one of our colleagues will be in touch at the earliest opportunity.