In an update to our article by Daniel Latto on 14 February 2022 (https://burtons-solicitors.com/blog/update-on-ground-rent-for-2022/) we can now confirm that the date the restrictions come into force will be 30 June 2022.
This means Leases from this date forwards that qualify as long residential leases will not have any ground rent provisions within them.
There is still no announcement on ground rent for retirement homes, but this is still expected to be confirmed for 01 April 2023.
In further good news for leaseholders who currently pay ground rent, due to action by the Government together with the Competition Market Authority, some major homebuilders have already agreed to stop doubling ground rent charges for leaseholders on existing leases.
All of this continues the move by the Government to try and make leasehold properties more attractive to buyers, which also includes proposed future measures to create longer leases, and remove ground rent provisions, as well as adjustments to the process for leaseholders to purchase the freehold (in cases such as blocks of flats).
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