Yesterday the Government unveiled their plans to ban the sale of new leasehold houses due to the ever increasing concerns of spiralling ground rents and unjust provisions. Selling houses as leasehold means that the Developer retains an interest in the land but allows the purchaser to use the property, subject to a number of provisions and the ongoing payment of ground rent, which often doubles as the lease continues.
Many people who have bought these leasehold houses now find themselves with properties that are difficult to sell or mortgage, due to the onerous provisions and claim they did not receive the proper advice at the time of their purchase. If you are considering buying a leasehold house it is crucial that you seek full advice from a solicitor specialising in this area of law.
If you already own a leasehold house, you may wish to consider purchasing the freehold. A number of well-known Developers are now offering schemes to allow the leaseholders to purchase their freeholds, and leasehold owners may also have the right pursuant to statute to acquire their freehold, subject to paying a reasonable premium.
If you need advice upon a potential purchase of your freehold or your purchase of a leasehold home then please contact Hannah, a Solicitor within the Commercial Real Estate Department, specialising in Enfranchisement matters, based in the St Albans office on 01727 818534 or Hannah.Brassington@taylorwalton.co.uk. James Khakpour-Smith, Partner and Head of the Enfranchisement Team would also be pleased to discuss your matter with you on 01727 818513 or James.Khakpour-Smith@taylorwalton.co.uk.