"Millions of people own leasehold homes and I am determined to stamp out unfair, unjust and unacceptable abuse of the leasehold system"
By offering funding to LEASE, a service that provides free support and advice to leaseholders and industry professionals, it is hoped that a more transparent, fairer and unbiased system is put in place.
At a leasehold event, held yesterday at County Hall, Mr Barwell also commended housebuilder Taylor Wimpey on its recent announcement to pledge to stop building leasehold properties moving forward and has encouraged other housebuilders to follow suite. He reminded housebuilders that they are building the homes of the future and not simply investment vehicles.
Gavin Barwell had this to say: “We are determined to create a housing market that works for everyone. Millions of people own leasehold homes and I am determined to stamp out unfair, unjust and unacceptable abuse of the leasehold system.
I want to see transparency and fairness for leaseholders - and I am pleased to announce ongoing support for LEASE, who provide free, valuable advice for existing and prospective leaseholders.”
Tony Essien CEO of LEASE said: “This welcome investment shows how committed the Government is to ensuring greater transparency when it comes to buying and selling leasehold homes. By allocating sufficient funding to our resources which helps guide and educate the industry means that we can continue to offer reliable and free advice to those who need it. This will lead the way for even better working practices for everyone involved, right from the start of the homebuying process.”
Discussions at the LEASE event suggest that leasehold tenure is set to considerably increase this year as the Government aims to increase the number of new homes built in order to meet the demands of the current housing shortage in the UK. Land Registry figures show that leasehold made up 43% of all new-build registrations in England and Wales in 2015, compared with 22% in 1996. As many as 9000 new homes last year were built and sold under leasehold tenure.
Tony continues: “With an increase in leasehold properties expected, it is essential that this type of tenure becomes more widely understood. Naturally, many buyers can get so caught up in the excitement of buying their new home, and they may fail to look or understand the terms of the leasehold. England's leasehold system is unique, so it is vitally important that buyers understand what they are purchasing so that their financial investment is protected in the future. We look forward to the outcome of the forthcoming White Paper and to help play a part in the future of leasehold tenure”
