Noida: For the last few years, rapid growth has been seen in the real estate sector across the country. Talking about the price, it is increasing every day. Still, people are buying flats in large numbers. In these, buyers get flats on a 99-year lease.
In other words, buyers get exemption to use the flat for 99 years. A big question regarding this is what happens to the houses of those people who buy their flats in the city by investing their lifelong earnings, when the lease ends.
Houses are sold in two ways in the city, one on a 99-year lease and the other, in the form of permanent ownership. If you choose the first option, then you should know the rules that you are not going to be homeless after the lease ends.
The trend of buying flats has increased rapidly
For the last few years, the trend of buying flats is increasing very fast. People are buying flats in large numbers in cities. There are many rules for buying a flat, through which the flat becomes yours, but do you know that many flats are leasehold properties? Therefore, this question keeps coming into the mind of many people after the lease of 99 years ends, will they not have the ownership rights on the flat?
What is freehold property?
The purchase and sale of property in the country is of two types – leasehold and freehold property. The real estate property on which no one other than the owner has the right to such property is called freehold property. The rates of such property are high.
Know leasehold property too
The leasehold property remains in your ownership for a certain period. The lease is usually for 30 or 99 years. After this, the owner again takes possession of it. The lease system was started so that the property does not have to be transferred again and again.
What will happen after 99 years of lease?
If you have bought a flat on a 99-year lease, then there is no need to worry. From time to time, government agencies bring schemes to convert the flat from lease to freehold. Some money will be required for this.
After this, after the lease ends, the property is made freehold. After the lease ends, the value of the leasehold property falls. Because no buyer has been found for it again. That is why such properties are cheaper.
If the building collapses before the lease period ends, then the yards of land on which that flat/tower has been built are divided equally among all the flat owners based on the current circle rate.
Can leasehold property be sold?
Many people have this question in their mind, can leasehold property be sold? If a person has bought a property on lease, then he cannot sell it. He has the right to transfer only his remaining lease period. For that also he has to get permission from the authorities. Any person can sell only freehold property forever. If you have a freehold property and you want to lease it to someone as a builder, then that right is with you. After the end of that lease period, you get that property back.