Peppercorn ground rent

[stillstanding51]

Our house is owned but is leasehold. Weve paid a ground rent of £5 per year The current landlord has sold to another company. Is our ground rent likely to rise astronomically. We’ve lived here for over 25 years and I’m now worried we are going to have high ground rent charges
can any one advise?

You'll have a contract. Payment will stay whatever it says on that. If it says £5 then it's £5. If it says it doubles every 25 years then that's what will happen etc. It doesn't matter who owns the freehold.

Phew! Thank you, I’ve no idea what was on the contract, nor were it might even be but
we've regularly paid £5 per year since we bought the property 24 years ago.

just out of interest why would a company even buy our leasehold when it’s worth so little income per year

When we bought our house in 1995 we were told that we had to pay £3.50 a year ground rent to a charity in London. When we got in touch they said we could buy it out for ever for £36 so we did however they have written to us every year reminding us that the £3.50 is 'due'. We think it would seem tight to quibble.

We were offered the chance to buy the freehold but it was quite expensive and involved solicitor charges etc. As the annual ground rent was so low we just let it run
£5 a year isn’t worth worrying about, likewise your £3.50

How long is left on the lease?

I’m not exactly sure but I think it’s got to be a long time. I know we’d be long dead by the time it ended. It wasn’t a concern when we purchased