Freehold

A freehold is a plot of land which is fully owned by a landowner. This sets it apart from a leasehold, which is only rented from a landlord. A freehold’s owner has full rights to the land and can lease it out, build on it or sell it as they see fit.

Freehold homes and building plots are normally more expensive than leasehold homes or plots because the buyer receives the full title deed on the land, as opposed to just a building as with a ground lease agreement.

More on this topic:
Housing in Switzerland: Rent or buy?
Rent or buy calculator
Buying investment property in Switzerland
Leasehold agreements explained

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Daniel Dreier is editor and personal finance expert at moneyland.ch.

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