Home owners are being forced to pay escalating ground rents; misled about the cost of converting their leaseholds to freehold; not being told upfront that a home is leasehold; charged ‘excessive and disproportionate fees’ for costs such as maintenance to common parts, or for making home improvements.
Propertymark welcomes the CMA’s move to launch enforcement action, having long campaigned on issues around the sale of leasehold properties.
We have long called for action to be taken to help leaseholders who have been misled and treated unfairly.
For too long, house builders and developers have not been transparent enough about what it actually means to buy a leasehold, which in turn has meant many owners have been faced with escalating ground rents and unreasonable fees, leading them into financial difficulty.
Our research shows three in five (62 per cent) leaseholders feel they were mis-sold and therefore it’s vital enforcement action takes place as soon as possible to give some hope to those who are currently trapped with no easy route out.
The CMA’s enforcement action could include forcing firms to sign legal promises to change their business practices, as it works with the Government on changing leasehold law.
Housing Secretary announces New Homes Ombudsman
Homebuyers who are faced with shoddy building work in their new homes will be protected by a new, independent Ombudsman, Housing Secretary Robert Jenrick has confirmed.
Leasehold: A Life Sentence?
Thousands of homeowners are stuck in leasehold houses they cannot afford to continue living in and cannot sell. We surveyed over 1,000 people who bought a leasehold house to explore the extent of the scandal which has left thousands of Brits trapped in leases with third parties.
