Service charge increases

Big_McCal

Hello

I am a first time poster wondering if anyone here knows much about service charges for leasehold flats. I live in a shared ownership property owned by myself and a housing association.

Yesterday I received notification of the proposed service charge for the year and it has increased by over 100% since last year, this will double my payments from about £100 to over £200. For me this pretty much tips the property from being affordable housing to unaffordable housing, I may have to move if the proposed charge becomes the real charge.

Is anyone aware of any basis for challenging charges like these?

Thanks

Big McCal

linlin_3

I think your local council should be able to help with this one as I suspect there are limits they can impose for increases on which council tax is payable.

lynzpower

In shared ownership, you should have had some sort of guidance as to the hows and whys of the service charges increase

Mine was in my lease, it will only go up with inflation. im fine with that.

Additionally, you COUD join together with the other residents and run your own management co. i dont know a great deal about this, but iirc Tomstickland was looking into doing a similar thing ( not shred ownership) maybe if you searhc for his name you should get some info.

Have you spoken with the housing corporation about this?

coolpaprika

I've been stung by service charges too.
My flat is in a council block. Every year they send out the 'expected' service charges for the year and in september or october they add some extra which has to be paid immediately, no warning, no notice.
Also whenever there are major works there's a bill for it. As there are 60 flats in the block and about 1/3 are privately owned, what chance is there that I can say 'no' to the proposed works.
Moral of my story, a house is cheaper to run, and don't buy from someone who bought from the council, especially if it's a concrete block.

Fitzy29

My service charge has gone up too, lucky for me there are 97 flats in our block and the residents own the freehold and as such we are managed by a non profit making company so all is kept fair.

My next place will be a house, these trendy flats are all well and good...BUT the extra service charges etc are a joke. Not really worth it.:cool: