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A leasehold property is usually a flat or aparment where another person called the Freeholder owns the exterior and communal areas of the building.
The Leaseholder would be granted a license when the property was new or converted and this would be for a set number of years, usually for modern properties this would be 125 years however, some leasehols can be for up to 999 years.
When the property is subsequently sold, the remaining period of the lease is carried over to the new leaseholder. Within the lease agreement, the Leaseholder will usually have many clauses within the lease that outlines what can and can't be done at the property. The Leaseholder would also be required to pay Ground Rent to the freehold as a anual amount.