Other outcomes from the Leasehold and Freehold Reform Act
As well as the above, other outcomes from the reform include:
Leaseholders will be able to appoint a managing agent of their choice.
Freeholders who manage their buildings directly will need to become members of a redress scheme so that their leaseholders can challenge them as and when necessary.
Leaseholders will no longer have to pay their freeholders fees when making a claim against them involving poor practices.
Making sure building insurance commissions are fair and transparent.
For more information about these changes, you can read the Leasehold reforms become law article on the Gov.uk website.
When does the Leasehold and Freehold Reform Act come into effect?
Although the Act received Royal Assent on 24 May 2024, most changes have not yet come into effect, and there is still no confirmed timeframe for when the remaining measures will become legally binding.
From 31 January 2025, the two-year ownership rule ended. This means you can now apply to extend your lease as soon as you become the registered owner/s.
We will continue to monitor this article and provide updates as and when possible.
Should you extend your lease if you’ve recently extended it?
If you recently extended your lease through the current legislation, you could get another lease extension, however it’s likely that you won’t need to. Because the cost of the longer lease extension is likely to remain the same, as well as having no effect on the property’s value, a lease with 100 years is still deemed as good, and therefore an additional extension isn’t necessary until your lease approaches having only 80 years left.