The hidden dangers of leasehold.

I was talking to a solicitor who deals in property recently and he had three 'golden rules' for buying a house:

Never buy a leasehold property.

Never buy a house without a mains drainage connection.

Never buy a property that requires access to be made over someone else's land.

I entirely agree with this advice.

If a property is leasehold, I would negotiate the freehold as part of the deal. If this isn't possible (for a reasonable price) then walk away.

There are all sorts of reasons properties are leasehold see here

As a keen watcher of Homes Under the Hammer - Leasehold doesn't seem to cause too many problems if handled intelligently and with awareness. 

I wouldn't have lived in all the lovely places I have been if I had gone for the mains drainage one!  I don't recall EVER having mains drains except in an army quarter.  And various digs in London many years ago! 

Its understandable that Flats are held on a leasehold basis but it more difficult to understand why houses would be unless sold of a shared equity basis. It would be nice to think that if the leaseholder wanted to sell the leasehold they should first have an obligation offer it to the house owner first.

David

I would never buy a House Leashold no matter how long it was for because there is no need to buy a house on this basis.

My thoughts entirely, Takman.

That, I think, is making the assumption everyone can buy 100% of the equity of a house by a mortgage and therefore have a greater choice. My understanding is that some housing associations sell shared ownership houses on a leasehold basis. If that is the only way you can get on the property ladder you immediately have a far narrower choice of property. 

David