Leasehold Property/ Advantages & Disadvantages

Property management has become an important business with the passage of time. If a common person does not have time to manage his property then there are many property management companies which are providing these services. In UK many people live in flats so flat management is one of the important aspect of property management. Flat management companies basically make easy all aspects related to lease property.

If you are living in flat which is a lease property then you have to consider many things. As in case of a lease property you just have right of ownership of property for a fixed period of time but not have a right to own a land so you must consider many things which are part of contract like time of expiration the lease property, right of way, and access, enforcement and maintenance covenants, rent details etc. When you own a lease property it has advantages as well as disadvantages.

Advantages

• Leaseholder can enjoy the right of ownership for specified period of time. He has a right for physical structure including roof, walls, and entire piece of a land.

• Leaseholder saves himself from monthly payment of rent hectic because normally for lease property rent is paid either annually or in lump sum amount.

• Repairs expensive are normally included in rent amount. So leaseholder does not pay any separate charges for normal repair of water pipes, electric lines, broken drainage, locks and any other parts of the flat.

Disadvantages

• One of the major disadvantages of lease property is that you can not make any structural changes in flat. As you just have right of ownership for fixed period of time but not own a land so legally you are bound not to make any structural change in the property.

• As lease agreement covers rent as well as many duties which are enforceable so some time it becomes costly for a leaseholder when he fulfills those duties.