🏢 Buying the Freehold to Your Flat: What You Need to Know
If you own a leasehold flat, you may have considered buying the freehold with your neighbours. This process—known as collective enfranchisement—can offer greater control, stability, and long-term financial benefits. At David Clarke Estate Agents, our experienced estate agents in Herne Bay and Whitstable can help you understand the pros, cons, and steps involved.
When you buy a leasehold property, you own it for a fixed number of years, but the land and building are owned by a freeholder. Over time, lease length reduces, which can affect property value and mortgage eligibility. Buying the freehold gives you a stake in the building’s ownership and removes many of the limitations of leasehold living.
Why buy the freehold? It puts leaseholders in control of service charges, building maintenance, ground rents, and future lease extensions. It also removes the risk of dealing with an unresponsive or absent landlord and gives you a permanent say in how your building is managed.
Are you eligible? To qualify, at least half of the leaseholders in the building must participate, and at least two-thirds of the flats must be leasehold with leases originally granted for over 21 years. Houses converted into flats and purpose-built blocks may both qualify, but commercial use must not exceed 25% of the total floor area.
What’s the process? First, leaseholders must formally agree to pursue the purchase together. You’ll then need to instruct a solicitor and a valuation surveyor. The landlord is served with a formal notice, and negotiations begin. The process typically takes several months and legal support is essential throughout.
Costs involved include the freeholder’s valuation, your own legal and surveyor fees, and the purchase price itself. It’s also worth budgeting for building insurance and ongoing maintenance if you become a co-freeholder.
At David Clarke Estate Agents, we often advise leaseholders considering enfranchisement. Whether you’re preparing to extend your lease or buy the freehold, we can connect you with trusted legal and valuation professionals and explain how your decision may affect the marketability and value of your flat.
In competitive areas like Herne Bay and Whitstable, properties with share of freehold often attract more interest from buyers and command a premium. That’s why understanding your options can pay off both now and in the future.
To learn more about leasehold reform or explore flats with share of freehold opportunities, get in touch with the team at David Clarke Estate Agents today.