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Overview of the Housing Act 1985 for Leaseholders

Summary

In relation to Service Charges, this Act is now only really relevant to people who are about to purchase a leasehold property under the Right to Buy scheme or people who now live in a leasehold property which was originally purchased under the Right to Buy Scheme. Sections 41 to 51 of the Housing Act 1985, which affected long leaseholders, were repealed by Section 41 of the Landlord and Tenant Act 1987. The rights they gave to Service Charge Payers no longer apply.

Relevant Parts of the Housing Act 1985 for Service Charge Payers

These parts of the Act remain in force and are important to people living in ex-local authority leasehold properties, and those people considering exercising their Right to Buy, or the preserved Right to Buy through a Housing Association.

Section 125A (Right to Buy: Estimates about Service Charges)

This section makes it a legal obligation under the Right to Buy or preserved Right to Buy schemes for landlords to provide an estimate of future costs for services and repairs to prospective purchasers before they decide to buy.

Section 125B (Right to Buy: Estimates about Improvement Contributions)

This section makes it a legal obligation under the Right to Buy or preserved Right to Buy schemes for landlords to provide an estimate of future charges for ‘improvement works’ to prospective purchasers before they decide to buy.

Section 125C (Right to Buy: Reference Period for Estimates)

This section set out the periods which the estimates under Section 125A and 125B must cover.

Click on the link to read more about The Housing Act 1985