Leasehold gives the buyer the right to occupy and use a property for a defined term — commonly 99 years in UK and UAE leasehold structures — while ultimate ownership of the land remains with a freeholder (often the original landowner or a master developer). At the end of the term, rights typically revert unless renewed or extended.
Why It Matters
- —Common in parts of the UK (especially flats) and in non-freehold zones of the UAE.
- —Remaining lease length materially affects resale value and mortgage eligibility — shorter remaining terms (under ~80 years in the UK) can deter lenders and buyers.
- —Leasehold properties often carry ground rent and service charge obligations to the freeholder — read these terms before purchase.