What is the difference between commonhold and leasehold ownership of an apartment?
In the UK, commonhold is a form of ownership in which a group of individuals own a building or development as a whole, and each owner holds a long lease on their individual unit. Commonhold allows owners to have more control over the management of their building and to make decisions about the use and maintenance of common areas.
Leasehold ownership, on the other hand, involves the ownership of a property for a fixed period of time, usually several decades, during which the owner has the right to occupy and use the property. The owner does not own the land the property is built on, but rather holds a lease from the owner of the land, which typically includes the right to use and occupy the property for the duration of the lease.
In both commonhold and leasehold ownership, the owner is responsible for maintaining their own unit and paying a share of the expenses associated with the building or development as a whole. However, commonhold ownership provides more control and flexibility for the owner in terms of decision-making and management of the building.