One In Seven Help To Buy Owners Are Locked Into Leaseholds

Developers are abusing the Government’s flagship Help to Buy scheme by selling new-build homes with punishing leases. By the end of last year, leasehold houses made up 15 per cent of properties in the taxpayer-funded project. But the arrangement means buyers do not own their home outright and are forced to pay yearly ground rent to the freeholder – with some fees doubling every decade. Developers often sell the contracts to investors who then charge families huge sums to buy the freeholds back. It is now feared the taxpayer could lose out because the onerous terms make it almost impossible to sell leasehold houses on – leading to a slump in prices. Read more on the Daily Mail website.