House Management for Freeholder Flat Owners

HopefulHel

Could anyone give us any advice about the best way to go about managing our property, which is divided into 4 flats, each of which has a 1/4 share of the freehold.

We have been told that if you set us a company then you have to incur the cost of annual returns to Companies House. Is there an alternative method?

Thanks for any help you can offer.

Richard_Webster

Set up a company and file a dormant company return. While the people get on then you can trust each other to deal with the accounts and payments on an informal basis. If someone gets difficult then you have to make the company live again and file the returns, and hold a meeting to vote to overrule the awkward person. The company remains the freehold owner and there is no need for any changes to the freehold title when a flat changes hands.

If you literally have four names on the freehold title register then you need all four signatures to transfer the freehold every time any flat changes hands and one of the four can either have disappeared following the repossession of his flat or refuse to sign because he is having some unrelated argument with the other flat owners.