ChatterBank2 mins ago
Ground Rent
I have just received my annual bill for ground rent on my house. It is not very much, only £12.50 and it is my understanding that it cannot be increased. However, I would like to get rid of it. Does anyone know if it is possible to buy it and if so how do you go about it. Is it likely to cost a lot and therefore not be beneficial to me? Thanks for any advice.
Answers
it has been some years since I last had to pay ground rent but I seem to recall a law passed that meant you could demand to be able to buy it outright making the place freehold. But the present owner sets the amount ? I recall I didn't bother for years but contimual shifting of ownership and late or forgotten bills arriving meant eventually I decided it was worth...
10:59 Sat 15th Jun 2013
it has been some years since I last had to pay ground rent but I seem to recall a law passed that meant you could demand to be able to buy it outright making the place freehold. But the present owner sets the amount ? I recall I didn't bother for years but contimual shifting of ownership and late or forgotten bills arriving meant eventually I decided it was worth getting it out of my hair and buying it. Contact whoever presently sends you the bill.
Or maybe you have a rentcharge ? These are still common but can be redeemed - see https:/ /www.go v.uk/re ntcharg es.
No I think Brightsparks was different
or perhaps in London
I pay £25 twice a year - it came up for auction and I either missed or was advised not to buy it
then when I came to tire of paying tiddly amounts
I asked my usual lawyer who said: 'don't'
and I have to say I thought it was ten times the ground rent or thereabouts - in your case £125
I think the argument is that it becomes not worth collecting faster than the outright cost.
Lots and lots of case law and statutes on this - basically a northern thing - when I bought the house the lawyer got five years gnd rent out of the vendor
and sure enough after a few years up popped a ground rent company and said pay up ! Seven years and they can only demand six....
then they tried saying I hadnt paid when I had. Oh God little tinkers they are
and their final wheeze was to say do you want to pay up five years in advance. and the answer is no. in my case they can only do it in arrears which I think is the general position. They admitted somewhat reluctantly they didnt have a right to five years up front- 'they were just asking'
so keep on paying and await the day when it becomes uneconomical to collect which cannot be far away.
or perhaps in London
I pay £25 twice a year - it came up for auction and I either missed or was advised not to buy it
then when I came to tire of paying tiddly amounts
I asked my usual lawyer who said: 'don't'
and I have to say I thought it was ten times the ground rent or thereabouts - in your case £125
I think the argument is that it becomes not worth collecting faster than the outright cost.
Lots and lots of case law and statutes on this - basically a northern thing - when I bought the house the lawyer got five years gnd rent out of the vendor
and sure enough after a few years up popped a ground rent company and said pay up ! Seven years and they can only demand six....
then they tried saying I hadnt paid when I had. Oh God little tinkers they are
and their final wheeze was to say do you want to pay up five years in advance. and the answer is no. in my case they can only do it in arrears which I think is the general position. They admitted somewhat reluctantly they didnt have a right to five years up front- 'they were just asking'
so keep on paying and await the day when it becomes uneconomical to collect which cannot be far away.