Communities Secretary Sajid Javid wants to end 'exploitative and unfair' leaseholds on new-build houses

The video discusses the challenges faced by homeowners like Claire Scott who bought leasehold properties, where they own the house but not the land. The lease terms often include clauses that can lead to significant financial burdens, such as doubling ground rent every ten years. The video highlights the need for potential legal reforms to protect homeowners and criticizes developers for exploiting these terms. It also provides statistics on the prevalence of leasehold properties in England and offers advice for potential buyers to scrutinize contracts carefully.

What was the main issue Claire Scott faced with her leasehold property?

• The house was too expensive to maintain.

• The land was owned by a third party.

• The house was not built properly.

• The neighborhood was not safe.

Why are leasehold agreements considered a form of financial exploitation?

• They are illegal in most countries.

• They provide no legal ownership of the house.

• They involve hidden charges that increase over time.

• They are only used for apartments.

What action is suggested to address the issues with leasehold agreements?

• Allow developers to set any terms they want.

• Ban new leasehold agreements for houses.

• Increase the leasehold charges.

• Encourage more people to buy leasehold properties.

How did Taylor Wimpey respond to the leasehold issue?

• They ignored the complaints.

• They reduced the annual charges.

• They set aside funds to change lease terms.

• They offered to buy back the properties.

What is a major limitation of the government's proposal regarding leasehold properties?

• It only applies to new agreements.

• It increases the charges for current homeowners.

• It requires homeowners to sell their properties.

• It offers no financial compensation.