Freehold house with service charge?

Chazolate

Hi all,

I am a first time buyer and have had an offer accepted on buying a freehold 2 bedroom coach house. When viewing the house i tried to gain as much information as possible and asked about costs such as council tax and heating bills. After I put in an offer I paid the mortgage fee and the initial solicitors costs. I have just received a 'Property Information Form' through my solicitor. Whilst reading through the form I have found that ownership of the property will carry a responsibility to pay a service charge of £87.96 every six months. I was quite surprised the seller did not mention this when asked about the cost of living and being a first time buyer I am not sure if I want to be responsible for paying this extra fee. Can any one advise me on what to do from here? Has anyone been in this situation? Is it common to pay a service charge when owning a freehold house? And is the service charge likely to increase over time?

Thanks,

Chaz

gemstars

Do you know who the service charge is going to? I'm not sure if you're in the same situation as me but I thought this might help.

I am purchasing a freehold property which is in an area owned/managed by a housing association. My property will be subject to a service charge (approximately 5 per week) to cover maintence of the public areas, paths roads, street lighting etc.

I looked into it and part of the agreement is that if the owner of the property wishes to sell it they need to make the buyer aware of the charge, which in my case they did.

As to where you'd go from here I'm not sure, maybe someone else will be able to advise you.

lonestar1

DO you know what the service charge is for ? If not ask, that should give you an idea on if its likely to increase

Most likely its just a charge for maintenance of a communal garden but be careful if it also pays for unadopted road maintenance

Chazolate

Thanks for your response! I have emailed the solicitor to try to find out what the charge is for.

cattie

I live in a freehold house in a conservation area & though apparently the service charge has never been collected, the deeds do state that the maintenance of the green fronting the properties is subject to a service charge.