With the prospect of abolishing the traditional leasehold system, a new era of commonhold ownership is on the horizon for all new-build flats. This means buyers will own the freehold of their individual flat, and a commonhold association managed by the owners themselves will jointly own and oversee the shared areas of the building or estate. This will redefine how properties are managed, introducing new complexities and responsibilities.
Property management software will be an indispensable tool in navigating this transition, offering support in streamlining communication, managing finances, tracking maintenance, and ensuring compliance. It provides a centralised platform for all stakeholders to interact, share information, and effectively manage the intricate tasks associated with commonhold property.
The Government announced in March 2025 that it has plans to begin abolishing the “unfair feudal” leasehold system and create a law meaning all new-build flats will automatically become commonhold.
It means buyers will own the freehold of their flat, while a commonhold association, managed by the owners, jointly owns and manages the shared areas.
We’ve got a full blog on the 3 most common questions about the move to commonhold. Read it here.
The migration of data is a challenging process that requires extra caution to avoid any losses or leaks. The right software can provide tools to import the existing leasehold data, such as tenant details, payment history, service charge records, and maintenance logs, and map it to the new commonhold structure.
A space to store all commonhold documents is essential. Forms like the Commonhold Community Statement, Articles of Association, building plans, compliance certificates, and insurance policies should all be kept securely to ensure transparency and easy access for all unit owners and property managers.
In the move to this system, property managers will need to understand the new rules that come with it, such as the Commonhold Regulations 2004 and the Commonhold Community Statement. With the right software, they can monitor and ensure compliance with reminders for regulatory updates or compliance deadlines.
An online portal is the best place to store and manage all legal documents, as many software offer version control to track amendments over time.
Automation is a property manager’s best friend and this is no different here. Some software can automate the calculation and collection of commonhold assessments, such as the service charge. This would mean setting up regular payment schedules and tracking them.
Expenses can be tracked in categories, such as maintenance, repairs, insurance, and administrative costs, which can be generated into financial reports for transparency purposes.
Arrears must also be tracked. Automated reminders are an option with most software for pursuing overdue commonhold contributions with clear audit trails.
A dedicated online portal for unit owners to log repairs and maintenance requests for places such as common areas is essential. This will allow property managers to efficiently track and assign tasks as they come in. Also, any software that allows a property manager to do this will also give them the capability of creating, assigning and tracking work orders for these issues.
The automation of scheduling for routine inspections and preventative maintenance tasks will also proactively address issues, saving property managers money in the long run.
Keeping in contact with unit owners will be vital, especially as everyone eases into the system for the first time. An online portal where unit owners can access the relevant documents, view their finances, submit maintenance requests and vote on decisions will be invaluable to all.
Integrated messaging, email, and announcement features will only increase a property manager’s transparency, allowing for better communication so everyone is on the same page.
It’s never been more challenging to be a property manager, which is why software is working to be as helpful as it can in helping them clear every obstacle. For those overseeing multiple commonhold developments, software can provide a consolidated view and streamlined management across all properties, making it easier to understand where attention is needed.
Analytics should be front and centre but presented in an easily digestible way. Customisable dashboards are available with software, which can also generate reports on financial performance, maintenance trends, and unit owner engagement.
It also helps with the management of staff by assigning them tasks and tracking their progress. It means property managers can move through the day with confidence, knowing everything is taken care of.
The right property management software is not just a convenience, it's an essential tool that will help property managers to embrace the commonhold model effectively. By centralising data, automating financial processes, streamlining maintenance, enhancing communication, and ensuring compliance, software solutions will help facilitate a smooth transition.