In most parts of the country, when you buy a house, you're buying the land too.
In the ACT, however, the government owns all the land and leases it back to home owners. While in practice these leases function in almost exactly the same way as a freehold title, they can be revoked, and they do run out.
The earliest Crown leases were granted about 100 years ago, and with most lasting 99 years, dozens of leases are coming up for renewal for the first time.
So what happens when the lease runs out on your land, and what do you need to know if you're thinking of buying?
No. The 99 years start when the land was leased to the first home owner, and you buy the remaining time when you purchase the property, however long that may be.
Ida Lam, the conveyancing manager at Convey Legal, said most lenders operating in the ACT understood the unique nature of the Crown leases, and there were not usually problems getting a mortgage.
"A lender's primary concern is ensuring that the lease term does not expire during the mortgage period or become so short that it affects the value or marketability of the property," Ms Lam said.
"In practice, this is usually addressed by requiring the lessee to apply for a further Crown lease before settlement or refinancing."
The first of the 99-year residential leases came up for renewal in 2023. Another 24 expired in 2024, and 17 in 2025, according to the ACT government.
A spokesperson for the ACT government said 32 leases are expected to come up for renewal in 2026, with 150 more to follow in the next decade.
The spokesperson said the ACT government was not anticipating "widespread refusals" of applications for residential leases to be renewed.
"In practice, most residential leases are expected to be renewed, provided leaseholders meet statutory requirements and lodge an application in time," the spokesperson said.
None of the experts The Canberra Times spoke to for this article were aware of any residential Crown leases that have not been renewed.
Ms Lam said there were limited circumstances where a renewal may not occur, and compensation may be available to the lessees.
However, the oldest leases tended to be clustered around the inner north and inner south, where heritage concerns could stifle redevelopment before the lease becomes an issue.
"In practice, redevelopment activity in these areas often results in the surrender of existing leases and the grant of new Crown leases with fresh lease terms as part of the redevelopment approval process," Ms Lam said.
Crown leases can be renewed through Access Canberra through an application which should be submitted within six months of the lease expiring.
At the moment, the application fee will set you back about $500.
Additional fees apply for unit development and multi-unit applications, Ms Lam said, and where the application seeks a longer lease term than the existing lease.
While the ACT government actively monitors lease expiries and issues reminders to property owners ahead of the expiry date, the spokesperson said primary responsibility for getting the application in on time lies with the home owner.
For those who did not personally purchase the house 99 years ago, the details needed for the application process can be found in the original lease documents. These are usually included in the sale contracts, but copies can also be accessed through the Land Titles Office.
The good news is: there is no fine. The bad news: you no longer have a right to occupy the land.
Rumours that Crown leases might default to month-to-month arrangements in the same way a residential lease might are untrue, the ACT government spokesperson confirmed.
The government could choose to evict the home owner, however if it does not want the land for another use, it could grant new Crown lease.
This would occur through a "direct sale", a process managed by the City and Environment Directorate which would avoid the need for a competition auction.
"If a lease expires and no application has been submitted, the leaseholder no longer has a legal right to occupy the land," the spokesperson said.
"The situation is not treated as a simple extension or penalty framework. Any subsequent grant of a new Crown lease would need to be considered through a direct sale process, subject to approval."
