The Leasehold Advisory Service said that 57 per cent of leaseholders regretted their decision to purchase
Modern leasehold was dreamed up in Victorian times, monetising the acquisitive ambitions of the new middle class but withholding the sale of the freehold title, which explains why much of central London still belongs to a handful ofonly exists in England and Wales as an accepted – albeit unwillingly by most consumers – form of property tenure and has been jettisoned even in jurisdictions based on English law.
A considerable revenue stream comes from freehold ownership, and private equity punters have pushed aside pension funds as the main purchasers of these assets, invariably holding them anonymously and offshore.– and that was in 2016, before the mass revolt of leaseholders facing wipe-out building safety bills following the Grenfell tragedy.
It was left to us, in the small charity the Leasehold Knowledge Partnership, to raise this to national attention and point out that these purchases would be impossible to resale. With the influential right-wing Policy Exchange putting this at the top of its wishlist this week, this Conservative government in perhaps its last year will do something after all.
Much less obvious for consumers is to understand that you are buying into a communal building. With other people, who aren’t friends or family. If the site is under the control of leaseholders through a residents’ management company or right to manage company, then it is not a bad idea to visit it at the weekend and try to speak to the owners. The chairman and directors will be on Companies House, so you will have some names.
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