Leaseholds to be banned on new build houses

martinsurrey

fozziebeartoo wrote: »

I have read what I could find about this as considering buying a leasehold apartment.....

But cannot find anything about when this MIGHT start.

Has anyone got a clue about timeline? Thank you

This will require primary legislation, (an Act of Parliament), so don't expect anything in under 12 months, and that would be pretty fast to be honest.

fozziebeartoo

martinsurrey wrote: »

This will require primary legislation, (an Act of Parliament), so don't expect anything in under 12 months, and that would be pretty fast to be honest.

Thank you :beer:

martinsurrey

fozziebeartoo wrote: »

Thank you :beer:

no worries,

Just as a guide.

The government first announced a ban on UK agents fees for new tenancies in the 2016 autumn statement, it was then in the 2017 Queens speech, on 21st June 2017, and the draft bill had its first reading in the house at the start of November, and its unlikely to become law before Autumn 2018, so around 2 years for that one.

Lord_Baltimore

Foresooth these are troubling tidings, my serf will be unpaid and my faithful steed will no longer be able to graze lest I actually pay my own bills instead of sucking that extra from the poor.

Tithe waits for no man or Lord. T’is as though it were the 21st century gadzooks

getmore4less

There will still be the problem of collective responsibility of the estates in the hands of a third party.

economic

There is nothing wrong with leases and ground rents, even if they rising 10x every year!

What is wrong is buyers given bad advice by solicitors/surveyors and not making it clear to them what they are buying.

Ground rents is a means of financing much like a mortgage is. The buyer (in the ideal world) can buy the property cheaper then if the property were a freehold/share of freehold (with no GR). It makes perfect sense.

What really need to have happened is regulations around buyers making sure they get a solicitor and valuer who is independent from the developer. And the solicitor and valuer must meet minimum standards of both explaining what the buyer is buying and whether the buyer is being ripped off or not.

Fix the source of the issue!!!

davidmcn

TrickyDicky101 wrote: »

And I never claimed otherwise. The point I was making was that FH/LH can be used to facilitate the R&M mechanism and this is not unreasonable. There is nothing intrinsically bad about FH/LH - it's in the detail [on some FH/LH structures] where the bad stuff happens.

Agreed it's the details which can make it particularly bad, but unless you actually have a need for a fixed term or an income from rent i.e. the essential components of a lease, doing it by leasehold seems a rather clunky solution, as at best you have the fiction of a 999 year lease and a peppercorn rent, and still the theoretical risk of forfeiture.

Having the freehold owned by a separate legal entity means you either get ripped off by an independent freeholder out to make a profit from you (by exorbitant fees if they can't get rent - how many posts here from people being charged hundreds for a "management pack"?), or if the flats own the freehold they have the admin hassle of running 21 Acacia Avenue Ltd.

zagubov

Remind me again, what's the point of leasehold? :whistle:

glasgowdan

There's absolutely no need for this system to remain in place, for flats, houses, studios, duplexes, log cabins or anything else. If you buy a flat, you should be buying ownership of it and responsibility for it and only have yourself involved (property management aside).

The current system is archaic. A bit like the royal family...the sooner it's gone the better.