UK banks agree siding deal to facilitate property sales
Hundreds of thousands of UK tenants trapped in flats due to a building security crisis shortly after the government signed a contract with a major bank to allow them to rent again. You may be able to sell their house.
The move is the latest attempt to address what Housing Secretary Robert Jenrick described Wednesday as a “market failure” caused by a fire in 2017 at Glenfell Tower, which left 72 people dead.
Since the fire, hundreds of thousands of homes have been unsold for safety reasons. To clear the market, Jenrik estimates that buildings less than 18 meters tall do not require the so-called “EWS1” fire protection foam and are secured by fire risk assessors and mortgage lenders. Announced that it should be.
This effectively reverses government guidelines in January last year that fire hazards for “buildings of any height” should be assessed. According to the government’s analysis, this decision extended the scope of the crisis to around 840,000 households.
Since the publication of its guidelines, now withdrawn, lenders hesitate to offer mortgage loans to apartments that can be considered dangerous, regardless of their height.
Ministers are desperately trying to break into the market, and this month Prime Minister Boris Johnson and other prominent No 10 members are risking.
The UK’s largest lenders, HSBC, Lloyds and Barclays, have welcomed the intervention and said they will abolish the EWS1 form requirement in blocks less than 18 meters. Lloyds said he was eagerly awaiting a decision to “help unblock the housing market further.”
“This is a big step forward for tenants of mid-to-low-rise buildings who are hard to sell and who face concerns about the potential cost of restoration and home security concerns,” said Jenrik. ..
“Rentals cannot remain trapped in homes that cannot be sold due to undue attention from the industry,” he added.
Some landlords are paying tens of thousands of pounds for temporary security measures such as a ‘wake-up clock’ which patrols endangered blocks around the clock pending confirmation of the building’s security. Have been forced.
Genric’s intervention is unlikely to satisfy building safety advocates and lease owners who insist that fire protection should be a top priority, even when disaster risk is relatively low.
Kate Henderson, CEO of the National Housing Federation, which represents the housing union, welcomed the announcement, but said “home security must remain a top priority.”
Stephen Morris Supplementary Report
UK Banks Agree On Coating Deal To Facilitate Real Estate Sales Source Link UK Banks Agree On Coating Deal To Facilitate Real Estate Sales