LPE1 form contents, what a leasehold management pack includes and common conveyancing delays
LPE1 FORM: the Law Society's Leasehold Property Enquiries (LPE1) form (current version: July 2019) is the industry standard for leasehold management information in England and Wales. It is completed by the freeholder or managing agent and returned to the seller's solicitor for disclosure to the buyer's solicitor as part of the sale documentation. CONTENTS: (a) SERVICE CHARGE ACCOUNTS: last 2-3 years' certified service charge accounts showing actual expenditure; (b) CURRENT SERVICE CHARGE BUDGET: estimated service charge for the current year (itemised � buildings insurance; management fee; cleaning; gardening; lift maintenance; communal electricity; etc.); (c) MAJOR WORKS AND SECTION 20 NOTICES: major works carried out in the last 3 years with costs; any Section 20 consultation notices (LTA 1985 s.20 � works costing any individual leaseholder more than �250) currently outstanding or anticipated; forthcoming major works estimates (roof; lift; cladding remediation); (d) BUILDINGS INSURANCE: insurer; policy number; expiry; annual premium; sum insured; public liability; outstanding claims; (e) GROUND RENT: current amount; review dates and mechanism (RPI; doubling; fixed step-up); note � leases granted on or after 30 June 2022 have peppercorn (nil) ground rent under LRGRA 2022; older leases with ground rents exceeding 0.1% of property value can cause mortgage eligibility problems; (f) RESERVE FUND: current balance � low reserve fund signals potential future special levy; (g) DISPUTES: ongoing service charge disputes at First-tier Tribunal (Property Chamber); other litigation; complaints; (h) BREACH OF COVENANT: known or alleged breaches; subletting or alteration without consent; forfeiture notices; (i) PLANNING: applications or consents affecting the building. TIMEFRAME AND DELAYS: 4-10 working days typical; 4-6 weeks with poorly managed freeholders. Delays in obtaining the pack are the most common cause of delayed leasehold flat conveyancing � lapse of buyer's mortgage offer risk. Commission the pack at the point of accepting an offer.
Management pack costs, LAFRA 2024 changes (28-day cap; fee provisions) and actions for landlords
MANAGEMENT PACK COSTS: set by the freeholder or managing agent � typically �200-�400 (standard professionally managed blocks); �400-�600 (complex or large blocks); some managing agents charge additionally for specific certificates (�50-�200). Normally charged to the seller. LEASEHOLD AND FREEHOLD REFORM ACT 2024 (LAFRA 2024): (a) 28-DAY MAXIMUM RESPONSE TIME: s.35 LAFRA 2024 � freeholder or managing agent must respond within 28 days; failure triggers compensation right; a significant improvement on the pre-LAFRA position (no statutory time limit); (b) FEE CAP: regulations to cap fees chargeable for management pack requests � in consultation as of June 2026; (c) RIGHT TO REQUEST DIRECTLY: buyers and lenders will have a right to request leasehold information directly from the freeholder; (d) ACCURACY AND COMPENSATION: obligations on freeholder to ensure accurate information; compensation right for buyers where inaccurate information causes loss. ACTIONS FOR LANDLORDS: (a) commission the pack at the point of accepting an offer � not when solicitors exchange draft contracts; (b) check ground rent position on older leases � ground rents that double or exceed 0.1% of property value at any point during the lease can make the property unmortgageable; (c) check reserve fund balance and disclose anticipated special levies proactively; (d) check for outstanding Section 20 notices; (e) escalate if no pack within 14 days of commissioning � reference the LAFRA 2024 28-day limit.