NAEA Propertymark comments on the Law Commission’s leasehold consultation

Mark Hayward, Chief Executive, NAEA Propertymark comments on the Law Commission’s consultation on leasehold houses and flats, which opens today.

“Thousands of homeowners are stuck in leases across the country facing escalating ground rent, charges for making basic alterations and growing more concerned that their homes are unsellable. Our Leasehold: A Life Sentence? report, found that a third (31 per cent) of leasehold house owners currently trying to sell their homes are struggling to attract a buyer because they don’t own the freehold, and a quarter (25 per cent) have had interest from house hunters, but when they found out the property was being sold as a leasehold, they were deterred. Further, almost half (43 per cent) weren’t told anything about purchasing the freehold by the housing developer when they were buying the property. As a result of this, one in five (18 per cent) have actively tried to buy the freehold to make their property more attractive to prospective buyers, while 41 per cent are thinking about doing it – but it’s rarely straight forward or affordable.

“Helping those who feel trapped by their situation is a real challenge and we hope this process will result in a robust solution for all those affected and who are unable to sell their homes.”

Kindly shared by NAEA Propertymark