The Welsh Government has formally joined the Law Commission project investigating ways to make it easier for people to extend or purchase the lease on their home, and look at ways to make the process easier, quicker and more cost effective.
In March the Minister for Housing and Regeneration Rebecca Evans announced a package of actions to curb the inappropriate use of leasehold for new build houses in Wales and to improve transparency and understanding for those entering into leasehold transactions.
Working alongside the UK Government, the Law Commission project will also consider how to overcome barriers to wider use of Commonhold, which provides an alternative form of home ownership to residential leasehold.
Rebecca Evans said:
“There has been widespread criticism of poor practice in the use of leasehold in Wales, and I have been clear that the Welsh Government will not support poor practice that has a negative impact on homeowners.
“This is why we introduced new criteria for Help to Buy – Wales. Now developers must give a genuine reason for a house to be marketed as leasehold, and comply with new minimum standards for both houses and flats to be sold as leasehold through Help to Buy – Wales.
“I’ve been clear that I am not ruling out future legislation to make leasehold or Commonhold fit for the modern housing market. When I receive the Law Commission’s report and our own research, I will set out our next steps.
“In the meantime, I continue to explore every avenue available to address the valid concerns being raised.”
