Tips For Selling Your Freehold

No matter whether you’ve just inherited a freehold or unable to commit to the responsibility of managing a freehold, there may come a time when you want to sell your freehold property. If you’re starting to consider the option of selling your freehold, there are a few things to take into consideration.

The difference between freehold and leasehold

If you own the freehold of a property, you own both the property and the land it has been built on. This means that you are responsible for both the property and land.

With a leasehold, you don’t own the property or the land, but you do have the right to live in the property for the time outlined in your lease agreement. The lease agreement will be made with the freeholder of the property and land, and the property will revert back to them at the end of the lease unless you agree to extend it.

What can affect the freehold value?

There are a variety of factors that can affect the value of a freehold asset. Besides the value of the leasehold properties, factors can include the annual ground rent (the yearly rent paid from the leaseholder to the freeholder) the length of the lease term (how many years are left on the lease) and the location of the property.

In order to get an estimation based on these factors, you can use an online freehold calculator to find out the value of your freehold.

What to do if you have tenants

There are laws in place, such as the Landlord and Tenant act 1987, to protect tenants. If you are starting the process of selling your freehold you must provide any qualifying tenants with notice within the correct timeframes.

If there are at least two flats in your property for instance, you are obligated to offer tenants the right of first refusal unless you have lived in the building for at least 12 months. It is also important that you collect all outstanding payments from tenants before the property goes to market so that you’re not left out of pocket.

Invest in legal advice

There are legal implications to selling any type of property so it helps to get independent advice from an expert in the field. Selling freehold properties in particular can bring about unexpected obstacles, such as providing specific paperwork within specific time frames.

In order to ensure that you’re doing everything you need to, it’s worth investing in a solicitor who specialises in the sale of freehold properties or who has strong knowledge on Landlord and Tenant laws.

We hope that these tips to selling your freehold property have given you the information you need to start the process.


  1. I own a freehold of 2 flats which each pay me £100 in ground rent, I arrange their buildings insurance as they wish & do everything at no charge to them, they have now unbeknown to me cos of the UK mail received nothing from them until a few days ago I had an email which apparently put me out of the timescale, being a pensioner who has never taken anyone for a ride, I feel I am – 2 flats worth £800000 each have offered me £13.500 for the freehold, I contacted my solicitor & obviously he is not interested says he hasn’t’t this experience, I have checked on line & should be offered much more. Don’t know what to do, don’t want to get involved with fees for such a small amount. Help please

    • Hello Pam. Thank you for your question. Unfortunately as we are not legally qualified, we cannot help. If you use this Google search, some specialist companies are listed that could help you. The link listed in this article will also take you to a specialist website that may be able to help, but we cannot give specific recommendations as we have not used any of these services.

  2. I own the freehold on both my flat and the flat downstairs. The downstairs flat only has 63 years left and we have offered the owner the right to buy. He offers silly amounts such as £5000 and we have declined.
    I no longer want his freehold as I have to fight for the insurance and ground rent every time. Is there any where I can sell just his lease on as It will help my tiny pension! . It would also assist me selling my property!

  3. Is it possible to sell my freehold property to raise capital and rent it back? Would it be legal? Please note that I am deaf and am unable to hear on the telephone both landline and mobile.

    • Hello Ian and thank you for your question. I am not a lawyer and cannot give you legal advise, so I suggest that you find a way of communicating with your lawyer who would be acting on your behalf in the potential sale of your property.

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