Pronunciation: [ɡɹˈa͡ʊnd ɹˈɛnt] (IPA) 
Ground rent refers to a regular payment made by a tenant to a landowner, typically for the use of a piece of land. The word is spelled phonetically as ɡraʊnd rent. In this spelling, the "g" is pronounced as in "go," the "o" is pronounced with an "au" vowel sound, and the "u" is pronounced as in "but." The "r" in "rent" also influences the pronunciation of the preceding "o" by making it sound like "ou."
Ground rent refers to a periodic payment made by a leaseholder to the owner of the land on which a property is built. It is a common term in real estate and property law, particularly in the United Kingdom and some other countries that follow the English legal system. The concept of ground rent originates from the feudal system, where landowners owned the land while others paid rent to use it.
Ground rent typically applies when a property is purchased on a long leasehold basis, often for a specific term such as 99 or 125 years. The leaseholder agrees to pay a recurring fee, usually annually or biannually, to the freeholder who retains ownership of the land. The payment represents the compensation for the use of the land and rights associated with the property, such as access to utilities and communal areas.
The specific terms regarding ground rent are typically outlined in a lease agreement, including the amount to be paid, frequency of payments, and any changes to the rent over time. In some cases, the ground rent may be a fixed amount, while in others, it may be subject to review or escalation by a predetermined formula.
Ground rent can have implications for property owners as it may increase over time and impact the value of the property. Leaseholders should also be aware of any additional charges, such as service charges or maintenance fees, which may be payable on top of the ground rent.
Rent or feu paid for the ground on which the house is erected.
Etymological and pronouncing dictionary of the English language. By Stormonth, James, Phelp, P. H. Published 1874.
The word "ground rent" originated in the English language during the medieval period. It is a combination of two separate words: "ground" and "rent".
- "Ground": In this context, "ground" refers to land or a piece of property.
- "Rent": It comes from the Old French word "rente", which means "income" or "revenue". Old French further derives it from the Latin word "revenue" or "income".
The term "ground rent" was commonly used in the feudal system, in which individuals or families held land from a lord or monarch in exchange for services or payments. The landholder, known as a "tenant", had to pay regular installments or fees to the landowner, which were referred to as "rent".
