When buying property in England and Wales, you'll come across two main forms of ownership: leasehold and freehold. Understanding the difference matters, as it affects your ownership rights, ongoing costs and responsibilities.
With a freehold, you own the property and the land it sits on outright, indefinitely, with no time limit. Most houses are sold freehold. There's typically no ground rent or service charge to a landlord, though you're responsible for all maintenance and repairs yourself.
With a leasehold, you own the property for a fixed number of years (the lease term, often originally 99–999 years) but not the land it sits on — that belongs to a freeholder. Most flats are leasehold, as are some houses. Leaseholders usually pay ground rent and service charges, and the lease can include rules about the property (e.g. on pets, subletting or alterations).
Our free leasehold checklist and conveyancing tracker help you navigate a leasehold purchase. This is general information, not legal advice.