Buying a home is one of the biggest investments most people will ever make. At first glance, everything might seem straightforward—until you discover your new house isn’t freehold, but leasehold. Unfortunately, thousands of homeowners across England and Wales have found themselves in exactly this position, often without fully understanding the implications.
At BSG Solicitors, our residential property team has been supporting clients through the ups and downs of the housing market for decades. With new laws on the way and concerns around leasehold ownership still making headlines, now is a good time to take stock of what’s happening—and what it means for anyone buying a home in 2025.
Understanding Leasehold vs Freehold
When you buy a freehold property, you own both the building and the land it stands on. With leasehold, however, you’re essentially renting the property for a long period of time—sometimes 99, 125 or even 999 years—while someone else (the freeholder) retains ownership of the land. This is more common in flats, but over the last decade, some developers began selling new-build houses on a leasehold basis too.
The result? Many homeowners were left with unexpected charges, such as rising ground rents or expensive fees just to make simple alterations like changing a window or adding a conservatory. In some cases, these hidden costs made it difficult to sell the property or even remortgage.
What’s Changing in 2025?
The government has recognised the unfairness of these practices and is taking action. Later this year, the Leasehold and Freehold Reform Act is expected to fully come into force. Among other things, it will ban the sale of most new leasehold houses, make it easier and cheaper for leaseholders to buy their freehold, and put a stop to excessive ground rent charges on new leases.
While these changes are welcome, they won’t apply overnight—and they won’t help everyone who’s already bought a leasehold home under the current rules.
Why Legal Advice Matters More Than Ever
This is where expert legal advice makes all the difference. At BSG Solicitors, we carefully review the title of any property you’re planning to buy. We’ll explain whether it’s leasehold or freehold, highlight any clauses that could cause you problems later, and help you understand your rights before you commit.
Our experienced team knows what to look out for, from ground rent review clauses to service charge obligations, and we’ll always be open with you about anything that could affect the value or saleability of the property in the future.
Planning to Buy a Home?
We offer clear, fixed-fee conveyancing with no hidden costs. More importantly, we offer peace of mind.
Whether you’re buying your first home, moving up the ladder, or downsizing for retirement, BSG Solicitors is here to help. Our residential property team offers practical, straightforward advice you can trust—so you can buy with confidence.
Get in touch today to speak to one of our conveyancing specialists or request a free, no-obligation quote.
