Leasehold- have we made a huge mistake?

[Creativebee]

We put an offer in on a house last week, it was between two but we decided to slightly increase our budget and put the offer in for this house. We knew it was leasehold but I always assumed that leasehold meant that the ground/land the property was sitting on was the lease part not the actual property. I tried to ask EA but they have no idea and said all they know is that it’s leasehold 🙄. I’ve purchased the registry title for both the property and the associated land, both say leasehold, this is how it is written:
A: Property Register
No price recorded
This register describes the land and estates comprised in this title.
I am assuming where it says estate that means the house itself?
DH and me are panicking because from what we’ve read you can’t even do a loft conversion, add a conservatory or alter the property without prior approval from the freeholder. Have we just lost out on the other property (the other one we were interested in has now SSTC) and put an offer in for a house we could do nothing with? I know we can pull out as it’s only an offer but we really don’t want to. Can someone please give some clarification?

How did your viewing go ? Hope it went well and you have a new buyer

Sorry , that was meant for johnsnowsghost

It went well thanks! Sold to a cash buyer :) fingers crossed we can push the sale through quickly.

Who is the freeholder? My house is leasehold on 999 years lease and we hold a share of freehold. It's for the communal green and communal lights mainly. We have no ground rent. So really depends on your leasehold.

Oh my gosh amazing ! So happy for you . Hope all goes well with the sale. I remember the feeling walking out for the last time, just the best. Enjoy xx

Thank you, I can't wait to get out!

Are you in the North West? What you’re describing is pretty common there-sometimes when farmland was sold off to build houses. I’ve heard a solicitor describe them as ‘virtual freeholds’. I assume the ground rent won’t change throughout the lease and there are no service charges. The lease will often state that the freeholder’s permission is needed for any alteration affecting the external appearance of the house-so conservatories, extensions etc but not straightforward loft conversions. When I had one, some of our neighbours built stuff and hadn’t even read the lease as they’d lived in the house for many years and never thought about it. However, they might have problems when it comes to selling.
The freeholder wouldn’t normally withhold consent if straightforward, but they will charge you for permission. It adds an extra layer of bureaucracy and cost. Also, some of the original freeholders have sold on their freeholds to companies who up the costs etc as they see it as a way to profit-they’re certainly not getting much income from ground rents. But you know you have the right to buy the freehold of a house once you’ve been in it 2 years? You have to pay the freehold solicitor fees as well as the cost of the freehold but you can take it to a tribunal if the costs are unfair. Get yourself a solicitor who is experienced in these matters.

The Leasehold Advisory Service has a good guide on leasehold houses.