Understanding a Ground-Rent Arrangement
The tenant would pay a fixed fee to the landlord either monthly or periodically. In return, the tenant would have the right to use a specific plot of land. 1 As a result, the tenant owns the property or building on the land but doesn't own the land itself.
How long do you have to pay ground rent?
Paying ground rent
Ground rent is usually paid every six months in May and November.
Is ground rent paid annually?
This is usually a small amount of money paid annually, but it can be any amount, dependent on the terms of the ground lease. In simple terms, you still own the rights to occupy the building, alter and amend it, sell it or mortgage it, subject to the terms of the lease, in return for the payment of a ground rent.
