Many people in the country live in rented houses. Many of these people dream of having their own house. For this reason, they keep saving from their income to buy a house. It is worth noting that the rate of property has been increasing rapidly in the past years. In such a situation, buying a house has become a very difficult deal. For this reason, people resort to loans. Buying a house with land in a residential or a good area is a very expensive deal. For this reason, many people prefer to buy a flat there. At the same time, do you know that many flats come under leasehold property? That is, these flats are given to you on lease for a fixed period. However, the lease period usually ranges from 30 to 99 years. After the lease period of 99 years ends, there is no ownership right over the property.
If you buy property, then you should know that property is sold based on leasehold and freehold. Those real estate properties on which no one other than the owner has rights are called freehold properties.
Apart from this, leasehold properties are owned by a person only for a fixed period. After the lease ends, the owner again has the right over it.
You should know about this so that the property does not have to be transferred again and again. Keeping this in mind, the lease system was started. Often many people have a question if a person has taken a flat on a lease of 99 years, then what will happen to the property after the lease ends?
Let us tell you that from time to time, many schemes are run by the government to convert the flat from lease to freehold. However, for this, you have to pay some money. After this, after the lease period ends, the property is made freehold. If you do not convert the property from lease to freehold, then you will not have ownership rights over it after the lease of 99 years.
(PC: Freepik)
