What Happens At The End Of Your Lease?
Very rarely will a lease run out. In circumstances where this happens the law is quite complex and expert advice should be sought as to what the rights of the leaseholder are. In limited circumstances the freeholder may apply for vacant possession of the premises but there is a procedure that must be adhered to.
In many cases the leaseholder will remain in the property as an assured tenancy and will pay the level of rent an assured tenant would pay. Many people wrongly believe that the flat is given to the freehold when the lease runs out but this is not the case.
Do You Qualify To Stay In Your Flat?
In order for you to qualify to stay in the property you must prove that the property is your main residence at the end of the lease. There must have been a long residential tenancy at a low rent. This refers to the amount of ground rent that was being paid. This needs greater explanation and we have included a link for leaseholders to look at here. The lease that was originally granted must have been for in excess of 21 years.
The leaseholder may still be able to enfranchise after the lease has ended but strict limitations are applied and the process for this must be adhere to. for more information please visit the above link where the information provided should help you. Leasehold flats are treated very differently to leasehold houses and care should be taken when purchasing a house with a very short lease.
What may seem to be a very cheap property may well turn out to be a protected tenancy when the lease on a house expires .More information can be found here at the Lease Advice.org.