Our property was built in 1984 and is leasehold at a cost of £35 per annum over 99 years. We have been offered the freehold for £1100. What would be the advantage, if any, of purchasing the lease at this price?
Possibly none. If you are a qualifying lessee, having lived in the house for at least three of the last ten years, the purchase price of the freehold is negotiable, however your surveyors negotiation fee may outweigh any reduction. It may not be worth bothering about at this stage unless your lease contains covenants that you find restricting or irksome, or you are experiencing difficulty finding anyone willing to lend money against the property because the lease has only 69 years to run. It’s possible the freehold will add value to your property: speak to a local estate agent.