Latest News

Buy-to-let mortgages stable despite overall market slowing

13 November 2019

Latest data has revealed an overall slowdown in mortgages despite the stability in the buy-to-let market with an expected further growth of 1 per cent in the next quarter. Read More...

Council of Dragons to advise Government on proptech

11 November 2019

Housing Minister Esther McVey has unveiled a new expert advisory council dedicated to the digital transformation of the property sector. The new Proptech dragons will advise ministers on how to support and grow the sector further, making it easier and cheaper to plan, build and buy new homes. Read More...

Internal communications lapse led to huge fine for estate agent

07 November 2019

Agents are encouraged to review their internal communications procedures, after a prominent Reading estate agent was fined for failing to disclose that a flat was cladded with Aluminium Composite Material (ACM) until minutes after the sale was completed. Read More...

General Election 2019 – Time to Regulate and Reform the Housing Sector

04 November 2019

Ahead of the political parties finalising their manifestos for the forthcoming General Election, Propertymark has published its own ‘manifesto’ calling on the new Government to regulate and reform the housing sector. Read More...

Bournemouth estate agent ordered to pay for misleading customers

01 November 2019

A Bournemouth estate agent must pay out tens of thousands of pounds for misleading its customers and allowing one of its employees to value a house they wanted to own. Read More...

Does your vendor’s septic tank meet the required standards?

30 October 2019

Sewage discharge legislation is changing, with the deadline for changes to be made – 1 January 2020 – fast approaching. The General Binding Rules (GBR) for small sewage discharges (SSDs) have been put in place to protect England’s river and streams from pollution caused by septic tanks and other small-scale sewage treatment plants. Read More...

FTB sales hit seven-month high ahead of Brexit deal

30 October 2019

NAEA Propertymark’s September Housing Report has shown that sales to FTBs increased to the highest level seen since February. Year-on-year, this is an increase of 8 percentage points from September 2018 when it stood at 22 per cent. Read More...

Plans in place to abolish leasehold for all new homeowners

Thursday 27 June 2019

In a wide-ranging speech to the Chartered Institute of Housing conference in Manchester, the Rt Hon James Brokenshire MP confirmed plans to abolish the selling of new houses in England as leasehold and reduce ground rents for new leases to zero – putting cash back into the pockets of future homeowners.

All new-build houses will be sold as freehold in order to tackle the continuation of unfair leasehold practices and prevent future home-owners from being trapped in exploitive arrangements that have been witnessed in recent years.

The changes:

  • Ground-rents on new leases to be reduced to £0 – preventing leaseholders being charged exorbitant fees for which they do not benefit from
  • All new houses to be sold on freehold basis unless there are exceptional circumstances – ending unscrupulous practice of unnecessary leaseholds
  • Immediate action to ban Help to Buy being used to support the purchase of leasehold houses
  • If buyers are incorrectly sold a leasehold home, consumers will be able to get their freehold outright at no extra cost

To stop freeholders and managing agents taking as long as they want – and charging what they want - ministers will introduce a new time limit of 15 working days to provide leaseholders with information they need to sell their home and a maximum fee of £200 to make the home buying process quicker, easier and cheaper.

Homes England has been instructed to renegotiate Help to Buy contracts to explicitly rule out the selling of new leasehold houses, other than in exceptional circumstances.

Other important proposals unveiled include extra funding for 19 new garden villages, and radical new measures to speed up planning applications.

NAEA Propertymark believes it is unfair that the thousands of existing leaseholders across the country are stuck and unable to sell their property. That’s why we have responded to many consultations in order to push for a reform.

Our Leasehold: A Life Sentence? report found that:

  • 94% of leaseholders regret their purchase
  • 93% would definitely not buy another leasehold
  • 62% feel as though they were mis-sold

Yesterday, we reported on the Ground Rents (Leasehold Properties) Bill, which if passed will remedy the issues faced by existing leaseholders. Positive steps have been taken to stop poor practice continuing for future homeowners, we are now calling for legislative action to address problems faced by those currently living in leasehold homes.

Ground Rents Reform Bill

Mark Hayward, Chief Executive, NAEA Propertymark comments on the announcement that all new-build houses will be sold as freehold in bold move to tackle unfair leasehold practices: “We welcome the announcement that all new-build houses are to be sold as freehold.

"These future practices are a huge step in the right direction towards fixing Britain’s broken housing market. However, we need to sought a robust solution for all those affected, as the issue remains at hand that existing leaseholders are still trapped in properties they can’t sell or remortgage which has led to three in five (62 per cent) feeling like they were mis-sold and we cannot leave them behind.”

Communities Secretary Rt Hon James Brokenshire MP told the Chartered Institute of Housing conference:

“We have long recognised that we have a responsibility to confront unfairness in the leasehold market. Last year we consulted on proposals including the leasehold house ban and ground rent reduction.

“Today I can confirm we will go ahead with our original plan to reduce ground rents on future leases to zero, as opposed to a cap of £10 per year.

“And we will legislate to ensure that in the future – save for the most exceptional circumstances – all new house will be sold on a freehold basis.

“We are committed to taking bold action to reform the sector and will be pressing ahead as soon as parliamentary time allows – helping us delivery our promise to make the home buying and selling process quicker, cheaper and easier.”

NAEA Propertymark resources

NAEA Propertymark members can access multiple resources as part of their membership which aim to tackle tricky legislative changes and topics throughout the industry, guides and videos to help agents comply and understand more easily. We’ve created a comprehensive Understanding Leasehold guide to help members get to grips with the tenure. You can access these by logging into the members area.

NAEA Propertymark also offers courses that cover topics across the sector including an Understanding Leasehold Properties Intermediate level course.

More information on courses

What Propertymark is doing

NAEA Propertymark has long campaigned in order to see unfair leasehold practices reformed. We have responded to many consultations in order to push for change. Here are some of the responses NAEA Propertymark has submitted:

A full list of NAEA Propertymark responses can be found below.

Consultation responses

To find out more about NAEA Propertymark’s extensive campaign to raise awareness on issues faced by leaseholders visit our Leasehold Lobbying page.

We have also put together a number of consumer guides for you to share with your customers and help them better understand what it means to be a leaseholder.

Consumer guidance