Price premiums being paid for a freehold property by homebuyers in England and Wales is at its highest since 2011 according to research by Benham and Reeves.
The price gap between a leasehold and freehold property reached 12.3% this year, the highest level since 14.3% seen in 2011.
Marc von Grundherr, director of Benham and Reeves, said: “There is no doubt that the leasehold scandal has had a severe impact on buyer sentiment and the amount people are willing to pay to avoid any of the potential nightmares that unfolded last year.
“So much so that the premium paid for a freehold home has already hit it’s highest levels in nearly a decade and will no doubt continue to do so.
“A freehold is always the preferable path when buying but unfortunately, not everyone can secure themselves a foot on the freehold ladder, either due to a lack of stock or the additional financial cost.”