Property in the UK is growing steadily in value.This is especially true of the capital of the United Kingdom.In the past year, housing prices in London rose by 9.4%.The main reason for the constant rise in prices experts have called a large number of foreigners who wish to invest in real estate in London.Over the past five years, the share of property acquired by foreigners in the UK increased by 39%.Among those wishing to buy property in the UK and a lot of Russians.But in order to buy property in the UK has led to the losses and problems that need to know the peculiarities of the British legislation.First of all, it concerns the forms of ownership of real property.
In the UK it:
- Freehold and its variant Share of Freehold.
- Leasehold and its variant Part by part rent.
- Commonhold.
Freehold - this is the most friendly to us the right of ownership, which can only be realized on the condition that the land under the subject property belongs to the owner of the object!It turns out that the apartment in an apartment building can not be freehold?Indeed, until 1993, it was!After the adoption of "Leasehold Reform, Housing and Urban Development Act 1993" an opportunity to residents of apartment buildings and townhouses to buy the building and the land under the building on the terms of share ownership.This is the Share of Freehold
Leasehold - long lease (for example, 99 or 125 years), the sum of which is the cost of the property.But by buying, for example, an apartment in the Leasehold, you need to understand that you have to pay an annual rent of land, whose value is assigned by the owner (usually in the range of 100-300 pounds per year), as well as maintenance services in housing estate complexes (in central Londonthe cost can reach 2,500-10,000 or more pounds in a year, it depends on the size of the apartment, the building and wear a set of services provided to tenants.).However, the same law of 1993 established the possibility of the forced extension of lease for 90 years, when the initial contract is for a term of 21 years and the last two years, the beneficial owner is a signed contract.Such a reservation due to the fact that renting a property in Leasehold, you are entitled to resale of the contract to a third party.Practically, this means that, for example, signing a contract for 21 years, after 2 years, you can renew it for another 90 years at market value (of course, it will cost a pretty penny, but the owner can not assign any price, as well as an annual ground rentcanceled!).Leasehold option is to buy part of the property (less than 60%).In this case, any action on resale should be coordinated with the owner and you do not have the right to extend the contract (ie after the expiry of the owner may refuse you or assign any new price).When buying real estate on the basis Leasehold need to pay attention to the remaining term of the lease!
Commonhold - newest to the UK ownership (homeowners).At the same time you own your apartment and collectively with the neighbors are responsible for the content of the entrance, basement, attic, etc.This type of property appeared in 2002, according to the «Commonhold and Leasehold Reform Act 2002".
of the above, it follows that the most interesting for investrov may be buying property in the UK on the basis of Commonhold and Freehold.
addition to the above forms of property, you must know that housing in the UK has traditionally evaluated by the number of bedrooms.Practically, this means that the value specified for the entire apartment or house, based on the number of bedrooms rather than the footage!Also, as in any apartment has a living room and dining room with a kitchen (in English is the "breakfast room"), then, for example, 2-bedroom apartment in our understanding - 3 bedroom.
