Fee Simple

Fee simple is the legal name for what most people call freehold. It grants the owner full and unrestricted ownership of both the land and any buildings on it, with the right to use, sell, lease, or pass it on to heirs. In New Zealand, fee simple is the most common and most desirable form of title.

The term comes from English common law and literally means an estate in land that can be inherited by any heir (as opposed to a 'fee tail', which restricted inheritance to direct descendants). In practice, New Zealanders almost always say 'freehold' in everyday conversation, but you'll see 'fee simple' on your certificate of title and in legal documents.

While fee simple gives you the broadest rights, it's not completely unrestricted. Your ownership is still subject to any registered interests on the title (easements, covenants, mortgages) and to statutory requirements like the Resource Management Act, Building Act, and local council district plan rules.

Even though fee simple is the most straightforward title type, you still need to check the certificate of title for any registered interests that could limit what you do with the property. Easements, covenants, and encumbrances can all affect a fee simple title.

Don't assume that 'freehold' or 'fee simple' means you can do whatever you want. Always review the full title with your lawyer and obtain a LIM report to understand council-level restrictions on the property.

The title type is shown on the certificate of title, which you can order from LINZ (Land Information New Zealand) for around $15-$25. Your conveyancing lawyer will confirm the title type and review all registered interests as part of standard due diligence.