This Code, now in its third edition, has been approved by the Secretary of State and is effective from 1 June 2016. It applies only to residential leasehold properties in England but practitioners operating in other parts of the UK are encouraged to follow the best practice guidelines contained in the Code.
This Code has been prepared to promote desirable practices in respect of the management of residential leasehold property. Successful management can only be achieved through cooperation and a mutual understanding of the procedures necessary for the effective management of property as well as of the problems that can arise.
The Code is therefore intended to be read by landlords, leaseholders, managing agents, managers and occupiers of leasehold property. Although most of the Code is aimed directly at managing agents of residential leasehold property, parts are specifically intended for other parties such as owners and professional advisers.
Whilst there are cost implications of managing residential properties to the standard specified by this Code, the benefits in terms of improved service and the level of satisfaction should make any additional cost worthwhile in the long run. A managing agent should provide a compliant, transparent and value for money service.
The Code aims to:
- Improve general standards and promote best practice, uniformity, reasonableness and transparency in the management and administration of long leasehold residential property.
- Ensure the timely issue of all documentation including budgets and year end accounts.
- Reduce the causes of disputes and to give guidance to resolving disputes where these do occur.
Published date: 27 May 2016