What is…

Freehold?

Absolute ownership of property and land

Landlord / Lessor?

This is the same as a Freeholder in most cases however it is possible to have an intermediate lease, more commonly known as a head lease, which could mean that your Landlord would be different from the Freeholder.

Leasehold?

The ownership of a lease.

FRI Lease?

A full repairing and insuring lease. A lease where there tenant is responsible for the costs of all repairs and insurance.

Rent Review?

This is a clause normally stipulated with the lease which allows the ground rent to be increased

Peppercorn Rent?

In order to enforce the terms of a lease a ground rent had to be set but in some cases, when the lease was created, the lessor did not want to charge an annual rent, they simply wanted to be entitled to the other rights that come from owning the lease. Hence the rent was set at a peppercorn which in modern day is £0.00.

Conveyance?

A document that indicates a transfer of ownership.

Title?

This is the legal right to ownership of the land/property.

Deed?

A deed is any legal instrument in writing which passes or confirms an interest, right or property and this is signed, attested, delivered and in some jurisdictions, sealed.

Rent Authority Letter?

This is a letter that a seller of a freehold or head lease interest provides to a tenant following the sale of their interest. This letter directs the tenant to pay future sums due under the lease to the new owner of the property.

Right of Way?

The legal right, established by usage or grant, to pass along a specific route through property belonging to another.

Freeholder?

A freeholder is a person or company that owns the freehold of the building. This means the freeholder will own the property outright.

Head Lease?

A head lease is just another interest in the estate. The most common property interest is Freeholder to Leaseholder (1 freehold, 1 leasehold) however in some situations the freeholder appoints one individual or business to have the head lease and they then provide the leases to the individual units, known in this situation as under leases.

Lessee / Leaseholder / Tenant?

The person who ones a property on a lease. The length of the lease decreases by year until it eventually runs out. A leaseholder is also called a tenant, but this should not be confused with short term agreements.

Ground Rent?

Ground rent is payment for the right to occupy and is usually stipulated within the lease.

Retail Price Index (RPI)?

This is often used for rent reviews and is a measure of inflation published monthly by the Office for National Statistics (ONS).

Rentcharge / Chief Rent?

This is a charge placed on a property and the amount and frequency is set out on the conveyance which created the rentcharge.

Tenure?

The relationship between the individual or organisation and the land in question.

Title Deed?

A legal deed or document constituting evidence of a right to ownership of a property.

Land Registry?

Land Registry is a government department responsible to the Lord Chancellor.  It is responsible for keeping and maintaining the Land Register of England and Wales.  The department registers title to land in England and Wales and records dealings such as sales and mortgages with registered land.

Easement?

A right to cross or otherwise use someone else’s and for a specified purpose.

National Housing Building Council (NHBC)?

NHBC is the standard setting body and leading home construction warranty and insurance provider for new and newly-converted homes in the UK. They are the governing body for new homes who will issue a 10 year structural guarantee. Their inspectors will ensure that your new home is built properly and safely.