Leasehold ownership of a flat is simply a long tenancy, the right to occupation and use of the flat for a long period – the 'term' of the lease. This will usually be for 99 or 125 years and the flat can be bought and sold during that term. The term is fixed at the beginning and so decreases in length year by year.

What does it mean to buy a leasehold property?

Leasehold property is a property interest for a fixed period of time (usually 99 years). But you do not own the property outright (unlike freehold – which grants you ownership of the building and the land it stands on). As a leaseholder, you can use the property for the duration of the fixed term of the lease.

Is buying a leasehold flat bad?

It might seem after reading this guide that buying a leasehold property isn't worth the hassle. But far from it. If you've fallen in love with a property that happens to be leasehold, there's no reason you shouldn't go ahead and purchase it. Leases themselves aren't an issue – it's bad leases that are the issue.