The leasehold and freehold reform act 2024

Key Reforms:

1. Increased Non-Residential Threshold: Previously, buildings with over 25% non-residential floor space were excluded from RTM eligibility. The new legislation raises this limit to 50%, allowing more mixed-use developments to qualify. lease-advice.org

2. Elimination of Freeholder Legal Fees for Leaseholders: Leaseholders are no longer obligated to cover freeholders' legal expenses when initiating RTM claims, reducing the financial burden and encouraging more leaseholders to exercise their rights. lease-advice.org


Implications for Leaseholders:

1. Enhanced Control: With broader eligibility, leaseholders in mixed-use buildings can now oversee management decisions, ensuring services align with their interests.
2. Financial Relief: Removing the responsibility of paying freeholders' legal fees makes the RTM process more accessible and affordable.

Considerations

While these reforms offer significant benefits, leaseholders should be prepared for the responsibilities of property management, including compliance with building safety regulations and financial oversight. todaysconveyancer.co.uk

In summary, the 2024 reforms mark a substantial shift towards empowering leaseholders and promoting fairness.

We are strong advocates for leaseholder rights and fully support these changes that empower leaseholders to secure the best service, promote financial transparency, and ensure properties are well maintained. Protecting investments and keeping homes in excellent condition is essential. We believe that taking pride in where you live and actively participating in property management is important. Fostering positive relationships with leaseholders and building a strong community is something we deeply value.