Leasehold flat in a block where others are freehold

[GoingDownLikeBHS]

Can anyone tell me what I should be worried about here? Block of 6, 2 leasehold (including one Im looking at ) and 4 freehold. They're offering a new 999 lease with the sale but I am thinking surely I would have been better off getting a share of the freehold? How does that work if communal repairs are required?

I find it odd the other flats are not also share of freehold, would have been cheap to buy so why didnt the owners buy their share also...maybe could lead to future issues with bills...maybe someone else can give a better opinion...a 999 year lease means it would be cheap to buy the freehold.

We were in this situation with MIL's flat. Decided that with a 999 year lease what was the point? What return would we get for our money if we bought the freehold? The service charges and ground rents can only increase with RPI (that's the terms in the lease) so we could use the cash more productively elsewhere. Block is now 60/40 split leasehold and freehold.

Nothing to worry about. Sounds like when the flat owners got together to buy the freehold, only 4 of the flats bought it and 2 of them didn't participate. But all 6 benefitted from the enfranchisement which is why the flat you're looking at has a 999 year lease (lease extensions are usually a benefit of enfranchisement).

What it means is that all 6 flats are leasehold but 4 flats own a share of the freehold. So decisions on managing agents, maintenance, service charges etc with be taken jointly by the 4 shareholders (owners of the 4 flats). Legally they must still split costs by the method defined in everyone's leases.

Seriously nothing to worry about unless the 4 shareholders are unreasonable. I'd try and check if those 4 flats are owner-occupied or if they're rented out. A resident owner will be more vested in looking after the building etc. A non-resident owner is more likely to want to scrimp on costs / only spend on absolute essentials (which isn't necessarily a good thing).

Thank you all much appreciated

I own a leasehold flat in a development where half the flats are share of freehold. When they purchased the freehold 10 years ago the owner at that time was a 90 year old woman so presumably not bothered

We can still participate in the management of the building by being directors of the residents management company which is separate. Bills are the same for everyone.

For me I would say share of freehold is best but if you can get leasehold in a block where the residents own the freehold which is what you have, that is the next best thing and still much luckier than the leaseholders whose freeholder is some money grabbing company in cayman or a housing association

Most media people don't even realise this is an option for flats