Reply To: Leasehold Land

#8694
Anonymous
Guest

Your couple own the leasehold of that property. This seems to be quite a strange thing to do – I would imagine they are trying to avoid capital gains tax.

You will need to have the leasehold valued (as you would if it was a freehold property) and calculate the capital value by subtracting any encumberances (mortgages) and disregarding 10% of the residual value.

The market value on a 999 year lease will be substantial – very probably equivalent to the value of a freehold property.