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03 | 08 | 17

Government ban on new-build leaseholds

Posted by: Adam Whitehouse

The Government plans to put an end to the "leasehold scandal" by banning developers from selling new-build houses in England as leasehold.

Plans to ban the practice and reduce ground rent payments will be outlined in a consultation launched by the Communities Secretary, Sajid Javid.

Currently around 21 per cent of private housing in England is owned by leaseholders, with 30 per cent of those properties being houses rather than flats. And whilst the Government have confirmed that flats can continue to be sold as leasehold, ground rents will be restricted to a “peppercorn” level.

The consultation will seek views on prohibiting the sale of new build leasehold houses where the developer is not obliged to sell a house on a leasehold basis, restricting ground rent charges and tackling unreasonable rises.'

 For those that missed the news ( a snippet above) - here is a link to the website of those good fellows at the NAEA to tell you more.

http://www.naea.co.uk/news/july-2017/government-ban-on-new-build-leaseholds/?utm_campaign=8540116_Remail%3A%20Copy%20of%20NAEA%20News%20134&utm_medium=email&utm_source=dotmailer&dm_i=Z6K,531LG,5FP5GO,JH1HX,1

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