Oct
14

12.3% freehold premium

Looking at the price gap between leasehold and freehold property from 2011 – 2018, HM Land Registry data analysis conducted by Benham and Reeves estate agents reveals it has reached its highest point during this period. With the data showing the gap started widening again in 2015, it demonstrates a lack of trust which is likely fuelled by all the stories relating to onerous leasehold charges like those that doubled every 10 years for example. It would seem therefore, that whilst the UK has seen a fairly steady rising trend in house prices over the last 5 years (see here), people are still willing to pay the higher price for freehold for peace of mind. You can read more about this story here.

You can also get an update on the leasehold scandal in an article published in Which? here.