Right to Manage
What is the Right to Manage?
The Right to Manage (RTM) was introduced through the Commonhold and Leasehold Reform Act 2002. It gives leaseholders the statutory right to take over the management of their property from the landlord.
You do not have to get the landlord’s permission, prove mismanagement or obtain a court order to exercise your right. It does come with some responsibilities and it’s not a decision that should be taken lightly.
Although the process is relatively straight forward, the qualifying rules and criteria can be complex. This is where we will help you to navigate through the process.
Why choose Right to Manage?
Many leaseholders are facing excessively high charges for items such as insurance, rental agreements and maintenance contracts purchased at uncompetitive prices.
By exercising your right to manage you will be free to appoint a managing agent, if you decide to, who is accountable to you, the owners. And as you will control the managemnet functions of your building you can expect better value for your money and a better service.
The Competition & Markets Authority’s market study on Residential Property Management Services (RPMS) published in December 2014 advises that “where residents have an RTM company their degree of satisfaction over RPMS is higher”
Why choose Right to Manage ?
Landlords who have no financial liability or any great interest in the day to day management of a building, are unlikely to ensure flat owners are getting value for money.
By exercising your right to manage you will have final sign off on items such as:
- Service Charge Budget
- Accounts
- Works
- Appointment of a Managing Agent
- Service/Supplier Contracts
- Insurance
You can therefore ensure a greater quality of service and value for money.
Useful Links
Please find some useful links to further information on the right to manage.
Leasehold Advisory Service
www.lease-advice.org/advice-guide/right-manage
The Law Commission
www.lawcom.gov.uk/project/right-to-manage/
The Guardian
The Independent
https://www.independent.co.uk/money/leaseholders-have-the-right-to-manage-their-homes-9085010.html