Right to Manage (RTM) is a legal right that allows flat leaseholders in England and Wales to take over the management of their building from the landlord. This means that they can choose who will manage the building, how it will be managed,and how service charges are spent. RTM gives leaseholders more control over their building and can help them toimprove the quality of services provided, reduce costs, and ensure that their rights as leaseholders are respected. It alsogives them a greater say in decisions about major works or changes to the building.
Your neighbours may well be worried that they are going to enter into a complicated, adversarial process involving a disagreement with the freeholder. however, the Right to Manage is just that, a right. As such, there are only very limited circumstances where a freeholder can contest it and it is not a process that involves expensive lawyers or going to court. Most applications can very easily be completed using our automated system.
You will of course be asked about cost! Legal processes always sound expensive.You should soon be able to alleviate their fears here- our system is designed to be efficient and keep the cost of the process to a minimum. Do note that you will be responsible for the freeholder’s ‘reasonable costs’ for the RTM application, but these can be contested if not deemed to be reasonable.
Leaseholders may well have heard of the possibility of buying the freehold. Whilst this will achieve the same end result of being in control of the management of the building, buying a freehold commands a premium and is a significantly more expensive process in terms of costs. You may find that you need to explain the difference, and cost benefits of Right to Manage, to them. You can find more information here.
Lastly, but by no means least, the main aim of the Right to Manage legislation was to give control back to leaseholders. Much of this control relates to the choices made for the building and the costs thereof. This is where savings are made and where Right to Manage makes financial sense.
The mi-blox RTM bot will tell you whether your flat, and its building, is eligible for Right to Manage without having to sign up for anything. Quick and easy. Give it a try.