I very much welcome the recent Government announcement that begins the process to end the situation of new properties being sold on leases that forces owners to make escalating rental payments on top of their mortgages.
This trend has seen developers selling new properties as leasehold with initially not a massive level of payment that, however, gradually increases to a much larger, unacceptable amount in the years that follow.
Resale then becomes very difficult and eviction could even take place if payments are not made
The number of leasehold properties has massively increased in recent years, approaching 50% of all new builds, and this process seems to have become more popular for one reason alone and that is commercial profit.
A more enlightened national builder, already recognising these onerous leasehold arrangements, has set aside money to buy its own customers out of these agreements and it is hoped others will follow suit.
Coun Michael Dixon,
St Michael’s Ward