The End of Leasehold? Commonhold Explained Simply
A major shift is moving through Parliament in 2026. Here's what freehold, leasehold and commonhold mean — and what's about to change.
By NestLink Team · Published 2026-06-27 · Updated 2026-06-27
# The End of Leasehold? Commonhold Explained Simply If you own a flat, or hope to buy one, you may have heard the word "leasehold" and felt confused. You might also have seen news about big changes coming. Don't worry. This guide explains it all in plain English. A major shift is moving through Parliament in 2026. It could change the way millions of people own their homes. Let's walk through what it means. ## First, the three types of ownership To understand the change, you need to know three simple words: freehold, leasehold and commonhold. **Freehold** means you own the building and the land it sits on, fully and forever. Most houses are sold this way. There is no time limit and no landlord above you. **Leasehold** is different. You own the right to live in your home for a set number of years, but you do not own the land. Someone else, called the freeholder, owns that. Most flats in England and Wales are sold this way. You often pay them a yearly fee called ground rent, plus charges for looking after the building. **Commonhold** is the new idea at the heart of these changes. We will come to it shortly. ## Why is leasehold a problem? For many people, leasehold has caused real stre