Hold onto your hats, leaseholders! The year 2025 is ushering in a wave of reforms that promise to make
your property journey smoother than a freshly plastered wall. Let’s dive into the key changes that are set
to transform the leasehold landscape.

1. The Two-Year Rule: Gone Faster Than a Speeding Bullet
   Remember that pesky rule that made you wait two years before you could extend your lease or buy your
   freehold? Well, as of January 31, 2025, it’s been tossed out the window. Now, you can take action from
   day one of ownership, giving you more control over your property destiny.
   
2. Right to Manage: More Power to the People
   Starting March 3, 2025, the threshold for non-residential space in Right to Manage (RTM) claims has been
   increased from 25% to 50%. This means more buildings qualify, allowing leaseholders to collectively
   take the reins and manage their properties. Plus, you won’t be on the hook for the freeholder’s legal fees
   in these claims, potentially saving you a tidy sum.
   
3. Lease Extensions: Because 90 Years Just Isn’t Enough
   The new reforms introduce the option to extend your lease by a whopping 990 years. That’s almost a
   millennium of peace of mind, ensuring your property remains in your hands for generations to come.
   
4. Ground Rent: Taking It Down to Peppercorn Levels
   The government is cracking down on ground rents, aiming to reduce them to a nominal “peppercorn”
   amount for new leases. This move is designed to eliminate the financial burden of escalating ground
   rents that have plagued leaseholders for years.
   
5. Commonhold Revival: Out with the Old, In with the New
   There’s a renewed push to reinvigorate the commonhold system, offering an alternative to traditional
   leasehold ownership. This model allows homeowners to own their individual units while collectively
   managing shared spaces, promoting a more democratic approach to property ownership.
   
6. Service Charges: Transparency is the Name of the Game
   With the average service charge for flats hitting £2,300 last year—a record 11% increase—there’s a
   growing demand for transparency. The new reforms aim to shed light on these costs, ensuring you’re not
   left in the dark about where your money is going.
   
7. Digital ID Service: Welcome to the Future
   To streamline the property sale process, a new digital ID service is being introduced. This initiative aims
   to reduce delays and costs by sharing property data among professionals, making transactions faster
   and more efficient.
   

In Conclusion: A Brighter Horizon for Leaseholders
The 2025 reforms are set to bring significant improvements to the leasehold system, offering greater
autonomy, financial relief, and transparency. It’s a new era for property ownership, and leaseholders
across the UK have plenty to look forward to.
Disclaimer: This article is for informational purposes only and does not constitute legal advice. For
specific guidance, please consult a qualified professional.