Leasehold properties are taking significantly longer to sell than freehold homes and are more likely to result in financial losses for sellers, according to new data from property firms Hamptons and Connells Group.

The research reveals that leasehold homes face extended sale periods of several months compared to their freehold counterparts. The findings highlight ongoing challenges in the leasehold property market that have persisted despite previous government reform efforts.

The data indicates that leasehold properties are not only slower to sell but also more prone to selling below their original purchase price, creating additional financial burden for homeowners looking to move.

Leasehold properties, where buyers own the property but not the land it sits on, have faced scrutiny in recent years due to various issues including ground rent escalations and service charge disputes. These factors appear to be contributing to buyer hesitancy in the current market.

The findings come at a time when the broader UK housing market has been experiencing shifts due to changing economic conditions and mortgage rate fluctuations. Property experts suggest the leasehold sales challenges may compound existing market pressures for affected homeowners.