Ground rent

If your property is built on land owned by someone else, you may have to pay ground rent. 

Ground rent is a payment to the person who owns the land on which a leasehold property is built. 

If your lease indicates that you must pay a ground rent, it will also tell you about any increases. For example, the ground rent may rise by a certain percentage each year. 

Ground rent is separate to the service charge. The amount for each year is listed on the annual service charge notice. 

You won’t have to pay ground rent if you own the freehold of a property. Owning the freehold means that you own both the property and the land it is built on.