Petition to abolish leaseholds.

[NERVY-OWL 192]

I made sure when I bought my house it wasn't leasehold, I never want to own a leasehold house. If I'm paying a mortgage on a house I should be able to do whatever alterations or put what I want on the driveway (within reason) without anyone elses permission so I hope it's banned on new builds at least but should go on all houses.

A bit different on flats I guess so not sure what they can do there

[Cyclone 10]

But think about doubling every 10 years.  Imagine buying your house, and unusually, you don't move.  50 years later, that ground rent has doubled 5 times.

And ground rent isn't £2.50/year anymore, let's say it starts at £250/year, that's not that bad.

Years 1 - 10, total cost £2500

Years 11 - 20, total cost £5000

years 21 - 30, total cost £10,000 (that's now a £1000 a year)

years 31 - 40, total cost £20,000

years 41 - 50, total cost £40,000

The next decade, well, you can see how this works, £80,000, or £8000 a year!

Edited June 30, 2019 by Cyclone

[Jim Hardie 520]

8 minutes ago, Cyclone said:

What would make you think that there is a somehow a "permissible"?  Do you think there's a law that says "doubling every 10 years is okay, but definitely no less than 10"?

Ok, I take your point but only a cretin would agree to a doubling every five years if it was a hefty sum to start with. That's why I doubt it's ever been done. Do you know different?

[Cyclone 10]

When does it stop being cretinous though, 5, 8, 10, the only difference is just how quickly it increases to an astronomical sum.

[topflat29 10]

Here is the link to Which Report  which gives  their advice on ground rent  doubling every 10 years .

 

https://www.which.co.uk/consumer-rights/advice/whats-the-problem-with-doubling-ground-rent-clauses-in-leaseholds

[topflat29 10]

Buying a new -build  residential  property  under leasehold title means the buyer  is paying the developer for the entire  cost of  development  but  the buyer  is given  a  long term rental agreement.  

 

Buying a new-build residential property under freehold title, means  the buyer gets legal  ownership of the property .

 

If the buyer  is paying for leasehold property  "just as much paying for freehold  property", the buyer of leasehold is being cheated out of thefreehold title.

 

[kaytie 11]

If you've lived in a leasehold property for a long time you are entitled to buy the lease...forget the exact time, but Ive done this. 

[Cyclone 10]

It's 2 years, it's really quite a short period of time, but the process for buying it isn't as straight forwards as it could be.

[Jeffrey Shaw 90]

On 13/07/2019 at 22:30, kaytie said:

If you've lived in a leasehold property for a long time you are entitled to buy the lease...forget the exact time, but Ive done this. 

If you OWN a leasehold, you've already bought the lease!

What you mean is "If you've lived in a leasehold property for a long time [=at least  two years], you are entitled to buy the freehold reversion and any other intervening reversion (if it's a house) or to extend the lease by 90 yrs. (if it's a flat)."

[topflat29 10]

The petition ( abolish leasehold )  closed on 1st Aug and  managed to attract 31,830 signatures.