Freehold, leasehold and other ownership types
What you actually own, why lease length matters and what shared ownership means.
Applies to: United Kingdom. Reviewed 2026-09-25.
Key takeaways
- Freehold: you own the building and land with no time limit.
- Leasehold: you own the right to live in the home for a set time; someone else owns the land and often the building.
- Most flats in England and Wales are leasehold.
The ownership types
| Type | Meaning |
|---|---|
| Freehold | You own building and land. |
| Leasehold | A time-limited right under a lease. |
| Share of freehold | Leasehold where the flat owners jointly own the freehold. |
| Commonhold | Owned flats with a shared association, uncommon. |
| Shared ownership | You buy a share and rent the rest from a housing provider. |
Leasehold rules are being reformed in stages. Check which rules apply to lease extensions, ground rent and service charges at the time of your purchase.
If you do not live in the UK
There is no ban on foreign buyers, but non-UK residents pay a stamp duty surcharge in England and Northern Ireland.
Questions to ask
- How many years remain on the lease, and what would an extension cost?
Red flags
- A short remaining lease, which can make the home hard to mortgage and sell.
Sources
- Leasehold property (GOV.UK)
- Stamp Duty Land Tax: residential property rates (GOV.UK (HM Revenue & Customs))