As the property market continues to thrive, many individuals are considering leasehold arrangements for their housing needs. However, it’s crucial for prospective leaseholders to be well-informed about their rights and responsibilities in such agreements. In this article, we delve into the essential “Rights of Leaseholders” to empower you with the knowledge needed to make informed decisions in the leasehold world.
Understanding the Rights of Leaseholders
1. Right to Extend the Lease
One significant right of leaseholders is the ability to extend the lease term on their property. Under the Leasehold Reform, Housing and Urban Development Act 1993, leaseholders are entitled to seek a lease extension of 90 years beyond their current lease length. This extension can provide greater security and peace of mind, making it a valuable right for leaseholders to exercise.
2. Right to Manage
Another crucial “Right of Leaseholders” is the Right to Manage (RTM). This right enables leaseholders to take over the management of their building from the landlord or the management company. By doing so, leaseholders gain more control over service charges, maintenance, and repairs, ensuring that their best interests are served.
3. Right to Enfranchise
Leaseholders also possess the Right to Enfranchise, which allows them to collectively purchase the freehold of their building alongside fellow leaseholders. This right, provided under the Leasehold Reform Act 1967, can be particularly beneficial as it grants greater control over the property and helps in eliminating ground rents.
4. Right to be Consulted on Major Works
Leaseholders have the right to be consulted on any major works or improvements planned for their building. The Landlord and Tenant Act 1985 ensures that leaseholders are kept informed and given the opportunity to express their views on such projects, offering them protection against unanticipated and exorbitant costs.
5. Right to Challenge Service Charges
The “Right of Leaseholders” to challenge service charges is paramount in maintaining transparency and fairness. The Leasehold Valuation Tribunal (LVT) provides a platform for leaseholders to challenge service charges they deem unreasonable or unjustified, ensuring a fair resolution of disputes.
6. Right to First Refusal
Under the Landlord and Tenant Act 1987, leaseholders are granted the Right to First Refusal when their landlord intends to sell the freehold or a part of it. This right gives leaseholders the opportunity to match the offer made by a potential buyer, safeguarding their interest in the property.
7. Right to Quiet Enjoyment
Every leaseholder has the inherent right to quiet enjoyment of their property. This right ensures that the landlord or management company does not interfere with the tenant’s use and enjoyment of their home, providing a sense of security and privacy.
Why Choose LMP Law for Your Leasehold Matters?
Navigating the complexities of leasehold law can be a daunting task, and that’s where LMP Law comes to your aid. Our team of dedicated experts specialises in leasehold matters and is well-versed in the “Rights of Leaseholders.” Whether you need assistance with lease extensions, RTM applications, enfranchisement, or service charge disputes, our professional services are tailored to protect your interests and ensure a smooth leasehold experience.
In conclusion, as a leaseholder, understanding your rights is paramount to making well-informed decisions and protecting your investment. Exercise your “Rights of Leaseholders” wisely and consider seeking professional advice when needed to navigate the leasehold landscape with confidence. Remember, at LMP Law, we are here to support you every step of the way.