Could avoiding paying ground rent result in you losing your property?

The news of ground rent scandal has indeed taken the homeowners by a surprise, and they are absolutely skeptical on paying ground rent to the freeholder or landlord of the property. Leaseholders are bonded by the law to pay ground rent to the freeholder on an annual basis, and if a leaseholder refuses to make the payment on time or, refuse the delays in the payment then, a freeholder reserves all rights to file an eviction, known as bailiffs, against the leaseholders.

Why pay ground rent?

As a leaseholder, you are obliged to pay more than £250 to your freeholder. You should take responsibility to pay the ground rent promptly or, it could risk forfeiting your property in the long run. A majority of the residential leaseholders are likely to think of ground as a trivial matter, and they tend to brush the maintenance and administration charges under the rug, and it could result in serious juridical inquiries.

To avoid court forfeiting your property, you should step up your game, and pay the ground rent in a timely manner. You should be in congruence with the terms and conditions when purchasing a leasehold property, and you should make sure that it requires you, a leaseholder, to pay ground rent on an annual basis. If it doesn’t stipulates the requirement to pay ground rent then, you should ask the review and revise the documents to avoid any confusion.

An average ground rent for a leasehold property is estimated to be £250 per annum in the outskirts of London, which makes it subjected to Assured Tenancy. If you refuse to pay the rent as per the requirements of the contract then, a freeholder reserves all rights to file a legal case against, and it would make it mandatory for a court to request the repossession of your property. You are likely to lose proprietorship to your property.

If you don’t want to deal with such consequences then, you should not avoid paying your ground rent scandal at any costs.