The Building Safety Act 2022: A Guide for Homeowners and Buyers

The Building Safety Act 2022 has changed things for many people buying, selling or living in a flat in England. If you’re in the market for a property in a block of flats, you’ve probably already come across new requirements, extra paperwork, or unexpected delays linked to the Act. 

For many people, it’s created some uncertainty around mortgages, who’s responsible for fixing building defects, and what it all means for selling your home. 

We’ve put together this guide to help you understand what the Building Safety Act actually means for you as a homeowner or buyer in England. 

If you’re buying or selling a property affected by the BSA, get your free conveyancing quote from our team today. 

Quick summary: 

The Building Safety Act 2022 introduces new protections and requirements for homeowners and buyers of flats in England, particularly those in higher-risk buildings. If you’re buying or selling a property in a block of flats, understanding the Act is essential. It affects mortgage lending, who pays for building defects, conveyancing timelines and your future liability for remediation costs, but successful BSA transactions happen every day with the right conveyancing support. 

What is the Building Safety Act 2022? 

The Building Safety Act 2022 is a piece of legislation brought in to make residential buildings safer and protect many homeowners from being unfairly stuck with the bill for historic building problems they didn’t cause. 

The Act brings in stricter building safety standards, a new regulatory system for higher-risk residential buildings, legal protections for qualifying leaseholders, and additional checks and paperwork when you’re buying or selling a property. 

For most homeowners and buyers, the biggest impact is on how the Act affects selling, buying, and getting a mortgage on flats. 

What are the key points of the Building Safety Act 2022? 

The key points of the BSA include:  

• To improve the safety and quality of all buildings, with a particular focus on the safety of higher risk buildings both during construction and once people are living in them.  
• Making sure the people involved in designing, constructing, and managing higher-risk buildings are competent. 
• Establishing clear guidance and standards for building safety.  
• Giving building residents more of a say in how their building’s safety is managed. 

Why was the Building Safety Act introduced? 

The Act came about following the Grenfell Tower tragedy in 2017, which exposed serious fire and structural safety issues in high-rise buildings. The government wanted to: 

• Improve fire and structural safety in residential buildings 
• Make sure there’s accountability when construction isn’t safe 
• Protect homeowners from paying for historic relevant defects they had nothing to do with 
• Restore some confidence in the property market. 

For homeowners and buyers, the key point is that Act is designed to protect leaseholders from footing the bill for safety problems they didn’t create. 

What does BSA stand for? 

BSA stands for Building Safety Act 2022. 

Which properties are affected by the Building Safety Act? 

The leaseholder protections, which are the parts of the Act most applicable to homeowners and buyers, apply to ‘relevant buildings.’ These are buildings that are at least 11 metres or five storeys tall, contain two or more residential units and are not leaseholder-owned.

Higher-risk buildings, which are at least 18 metres or seven storeys tall and contain at least two residential units, are subject to stricter safety management under the BSA. Not all relevant buildings are higher-risk buildings.

What is a leaseholder?

A leaseholder is someone who owns their own home (e.g. a flat in a block) for a certain amount of time. Most leases are 80+ years long. The building itself and the land it stands on is owned by a freeholder, and the leaseholders pay ground rent to them. At the end of the lease, the property ownership also returns to the freeholder – but most leases can be extended for a cost before this point.

How does the Building Safety Act affect buying a property? 

If you’re buying a property that falls under the BSA, it can affect whether a lender will give you a mortgage, how long and complicated the conveyancing process becomes and whether you might be on the hook for remediation costs in the future. 

Buyers need to get confirmation that the property qualifies for leaseholder protections under the Act, that any required remediation costs won’t be passed on to them, and that the right Building Safety Act certificates are in place. 

Without this information, you could face delays, extra legal enquiries, or mortgage lenders simply refusing to lend on the property. 

How does the Building Safety Act affect selling a property? 

For sellers, the Act has introduced new documentation requirements that must be sorted before you exchange contracts. For example, Leaseholder Deeds of Certificate, landlord or managing agent certificates, and evidence of who’s responsible for remediation. 

Why are mortgage lenders cautious about BSA-affected properties? 

Mortgage lenders are worried about the risk of future remediation costs, whether homeowners could end up being liable for those costs, and how building safety issues might affect property values. 

If lenders aren’t satisfied that a buyer is protected under the BSA, they may refuse to lend or add extra conditions. 

Getting legal advice early on can help you spot and sort out these issues before they derail your purchase. 

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Does the Building Safety Act protect homeowners? 

Yes. One of the main aims of the Act is to protect qualifying leaseholders in relevant buildings from having to pay for fixing historical building safety defects. 

Depending on your circumstances, you may be protected from paying for certain fire safety or structural remediation works (such as cladding removal), service charge demands relating to historic defects, and uncertainty over who’s responsible for safety-related costs. 

However, these protections depend on meeting specific criteria and having the right certification. They’re not automatic, and they need to be confirmed during the conveyancing process if you’re buying a property affected by the Act. 

Should I buy a property affected by the Building Safety Act? 

With proper due diligence and specialist advice, plenty of BSA-affected transactions go through successfully. That said, we can’t give legal advice in this article, so you should speak to your conveyancer.  

Some key things to understand before going ahead with a BSA-affected purchase include: 

• Whether remediation works are needed or already happening 
• Who’s legally responsible for the cost 
• How the building’s status might affect resale 
• Whether mortgage lenders are likely to lend on the property 

Your conveyancer will be able to advise you on your specific transaction. 

What is a qualifying leaseholder? 

A qualifying leaseholder is someone who meets specific criteria under the Building Safety Act 2022, which gives them important legal protection from having to pay for certain building safety remediation costs. 

You’re generally considered a qualifying leaseholder if you: 

• Hold a long lease (usually granted for more than 21 years) 
• You’re responsible for paying a service charge for the property 
• The lease was granted on or before 14^th February 2022 
• The property was your only or main home on 14^th February 2022 
• Or, if it was not your main home, you owned no more than three residential properties in total in the UK on that date. 

Qualifying status is usually confirmed through a Leaseholder Deed of Certificate. 

Why does qualifying leaseholder status matter? 

Being a qualifying leaseholder can protect you from paying for certain historical building safety defects. This can mean protection from the cost of fixing unsafe cladding, certain fire safety and structural defects, and service charge demands relating to historical safety issues. 

That said, qualifying leaseholder protections aren’t unlimited. They depend on the type of defect (some non-cladding defects may still be chargeable), and they can also be affected by the financial position of the freeholder or developer. 

What happens if I’m not a qualifying leaseholder? 

If you don’t meet the statutory criteria (for example, because the flat wasn’t your main home on 14 February 2022 and you owned more than three properties at that time), you’re treated as a non-qualifying leaseholder under the Act. 

This doesn’t mean you automatically have to pay for all remediation works, but you may not benefit from the same protections as qualifying leaseholders. You may be required to contribute towards the cost of fixing certain building safety defects. However, liability still depends on factors like the type of defect, whether the freeholder or developer is legally or financially responsible, and whether funding for remediation works has been secured from other sources. 

Being a non-qualifying leaseholder may also affect you if you want to sell the property. The non-qualifying status passes to the new owner when the property is sold. Non-qualifying properties aren’t unsellable, but they can be more complex. Mortgage lenders typically need clear evidence of remediation responsibility before they’ll lend, and early investigation is crucial to avoid problems as the transaction moves forward. 

Each case is very specific, so you should seek legal advice on your particular situation.

How does the Building Safety Act impact conveyancing? 

The Building Safety Act means that conveyancing for affected properties in England now involves more checks and documentation as well as the potential for more delays. 

For buyers, making sure the property is correctly certified and understanding your potential liability for remediation works is essential. For sellers, providing all required documents early can prevent delays or sales falling through. 

Overall, getting early legal advice from a solicitor who really understands the BSA should be your priority for safe, stress-free conveyancing. 

At Setfords, our expert conveyancers confidently handle transactions that fall under the Building Safety Act, making sure the process goes as smoothly as possible. Get your no-obligation quote today. 

Does the Building Safety Act apply in Wales? 

As a devolved government, the Welsh government has developed slightly different legislation regarding safety and remediation for high rise buildings.

Conclusion 

The Building Safety Act 2022 has made buying and selling flats more complex, but it’s there to protect homeowners from unfair costs and make buildings safer to live in.

While the extra paperwork and checks might feel overwhelming at first, understanding your position under the Act is crucial whether you’re buying or selling. The key is knowing whether you’re a qualifying leaseholder, what protections you’re entitled to, and how any remediation works might affect your property’s value and saleability. 

The good news is that with the right legal support, BSA-affected transactions happen successfully every day. The difference often comes down to getting expert advice early in the process, before issues have a chance to derail your plans. 

If you’re facing a property transaction that involves the Building Safety Act, you don’t have to navigate it alone. Our team at Setfords has extensive experience with BSA matters and can guide you through every step, helping your transaction run as smoothly as possible.

Don’t let uncertainty hold you back. Get in touch with us today for your free conveyancing quote, and let’s get your property transaction moving in the right direction.