Leasehold house prices rise 12pc

THE average price of a controversial leasehold house has risen nearly 12pc this year despite a looming government ban, according to research.

Property investment firm British Pearl said these houses were now selling for £281,000 on average.

Under leasehold agreements, buyers don’t own the land under their homes and pay rising annual fees to the freeholder.

Ministers have vowed to ban the ‘feudal’ practice but no legislation has yet been brought forward.