Tuesday, August 25, 2020

Thousands of leaseholders trapped in unsaleable flats due to unsafe clad...





Thousands of leaseholders trapped in unsaleable flats due
to unsafe cladding
Flat owners told their homes could be unsellable for up
to 10 years with unsafe cladding.
Following the Grenfell Tower fire disaster, hundreds of
thousands of buildings were deemed to be unsafe due to the outside wall
cladding.
In 2019, the Royal Institution of Chartered Surveyors (RICS)
brought out the EWS 1 form as a way of grading the safety of tower blocks with
cladding.
The grading certificate was intended for buildings over 18
metres tall with cladding, but this year Government regulations changed.
Mortgage lenders now require the form for shorter buildings as well.
It is estimated that 300,000 buildings that might require an
EWS1. However, there are only 300 inspectors able to carry out the in-depth
surveys, creating a huge backlog.
RICS charge at least £40,000 per building for the EWS1, which
seems extortionate. Another issue is that only the freeholder can apply and
some have refused, even though the cost will be passed on to leaseholder, because
the say it's not a legal requirement.
Peabody, a Housing Association based in London have written
to residents telling them that they think it will be 10 years before they can
get all of their buildings compliant.
Sebastian O'Kelly is the chief executive of Leasehold Knowledge charity -
which supports leaseholders told LBC News that flats are “largely unsellable
now, because mortgage lenders want to know that they are safe, and more sites
can't demonstrate that they are safe.”
"So you've got 900,000 to one million people living in
blocks of flats that are higher than 18 metres which are affected by the
cladding crisis."
Even if the cladding has been removed, the flats are
un-mortgageable without the EWS1.
Leaseholders have also been saddled with enormous bills
running into tens of thousands of pounds to carry out work, as well as paying
monthly costs to employ people to ‘watch’ the building.
Buying a leasehold property is fraught with difficulty and
you should buy freehold property if you can.
Other articles available at Money Tips Podcast - www.moneytipsdaily.com
·       
Thousands
trapped in unsellable leasehold flats
·       
Number
of homes repossessed falls to record low
·       
Mortgage possession claims fell by 97% to just
161
·       
2m homeowners apply for mortgage payment
holiday
·       
Government extends
ban on landlords evicting tenants
·       
Unemployment to double 7.5% and economy slump
9.5%
·       
Self-employed, have
you claimed your government grant
?
·       
Lenders not passing on rate cuts and mortgage
rates going up!
·       
UK property prices jumped by 3% since June following
stamp duty cut
·       
Why UK Property
prices rising after stamp duty cut
, despite the downturn?
·       
New planning rules will open up more
opportunities to
make money in
property
·       
You can create a second income during the
lockdown…and come out stronger
·       
Learn how to make money from property
without deposits, mortgages or cash
Millions of people face a bleak future post-Coronavirus
lockdown
, as businesses disappear and the job furlough scheme eventually comes
to an end. However, life doesn’t have to end because of lockdown! You can join
thousands of ordinary people who have increased their income and added
streams of new income during this period.
Are you ready to adapt to the new economic model?
As lockdown restrictions around the world are being eased,
the economic model has subtly changed forever. How will you adapt to this new
way of working and running a business, what obstacles and opportunities lies
ahead? Will you be a participant or spectator in this revolution?
By Charles Kelly, Property Investor, Author of Yes, Money
Can Buy You Happiness and creator of Money Tips Podcast.
There are more examples and practical
steps to getting rich and being happy in my book
, Yes, money can buy happiness, I cover the 3
R’s of Money Management, the Money B.E.L.I.E.F System and much more. Check it
out on Amazon http://bit.ly/2MoneyBook.
If you’d like further information on how to survive the
crisis and even quit the rat race, email me at
Charles@CharlesKelly.net
or send me a message through Facebook or my Money Tips Daily community.
See
more articles at www.moneytipsdaily.com

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