Property Types Explained
Freehold, leasehold, new builds, and more explained.
8 min read
Freehold vs Leasehold
With a freehold property, you own the building and the land it sits on outright. Most houses are freehold.
Leasehold means you own the property for a set period (the lease term) but not the land. Flats are usually leasehold. You may need to pay ground rent and service charges to the freeholder.
💡 Tips
- •Check the remaining lease length - under 80 years can be problematic
- •Factor in service charges and ground rent for leasehold properties
- •Consider the cost of extending the lease if necessary
New Builds
New build properties come with a 10-year NHBC warranty and are often more energy efficient. However, they may have a 'new build premium' in the price.
Buying off-plan can be cheaper, but you need to be comfortable purchasing before the property is finished.