Service charge increased by 900%!!

nayine

Hello I am in need of advice.

I used to live in a house and 4 years ago I sold that and brought a flat. I own it, it is in my name, I have the deeds.

Last year I had to pay £50/year for ground rent and £30/quarter for service charges such as maintaining the communal garden keeping it tidy and for those on the top floor there was an added charge for the roof repairs. I however live on the ground floor so I didn't have to pay that.

Last week we got a letter saying the management agency was changing and future service charges are to be made payable to them whilst the ground rent was still payable to the original management agency.

I payed the ground rent then today the service charge bill arrived. For £287/quarter!!!!!

This bill is broken down into things like Management fees, and management costs etc £180/year and then things like "pest control" and "security charges". To my knowledge we have never had any pest problems and the security charges section says " security guard costs" in the break down. We don't have any security guards!!! Then there is this category at the bottom called "sinking funds" under "exceptional costs" for which they want £71/quarter for!! I don't even know what that is!

Can they do this?
What are my rights as a home owner?

If I am forced to pay this I don't know how I would be able to afford it or who would want to buy a property with such ridiculous charges associated with it! When I originally brought the property I had a lawyer look over the charges but I wasn't informed they could just raise the bills like that so high so fast!

Any help would be much appreciated do I pay this or am I better of not? Can they evict me out of the home I own?

Thanks in advance
~Nayine~

Edited to add. They sent this bill on May 29th and said I had to pay it by April 1st!

R_P_W

Even though your ground floor surely you benefit from the roof?

nayine

R_P_W wrote: »

Even though your ground floor surely you benefit from the roof?

Well of course I was just giving the whole information its not like this increase is just because I now have to pay maintenance on the roof. I wouldn't mind that it's all the extra stuff and such a sudden increase. It's not like previously the upstairs payed this amount and I didn't the upstairs only payed a few pounds more!

PlutoinCapricorn

There are tribunals for people with this kind of problem. This may be useful:

http://www.lease-advice.org/

Kayalana99

R_P_W wrote: »

Even though your ground floor surely you benefit from the roof?

How do they actally benifit from the roof anyway? If it wasn't thier it wouldn't affect the OP.

What a stupid, lame answar.

I do hope you get better responses soon.

Poppy9

Residents can take over the management of the building themself.

PlutoinCapricorn

There are two kinds of service charge: one is for the day to day running costs and minor repairs, the other is for major works.

In order to avoid people's being hit by huge bills for major works, leaseholders are sometimes required to pay into a sink fund which is built up for when the time comes.

PlutoinCapricorn

Is there a residents' association? Consultation with the others is advised.

Unfortunately, the amounts you mention are not uncommon now.

anamenottaken

PlutoinCapricorn wrote: »

Is there a residents' association? Consultation with the others is advised.

Unfortunately, the amounts you mention are not uncommon now.

The amounts may not be uncommon but the OP suggests that they are trying to charge for services not provided - such as a security guard.

Do the flats require a security guard?

Ulfar

Can we ask is the flat part of a converted house, or is it a purpose built block of flats ?
How many flats are there ?
Is the property social housing, or any part of it council/housing association ?
Has it been social housing in the past ?
Is there a residents association ?

Without knowing these details it is very hard to give advice. One piece of advice I can give is read your leasehold very carefully and don't pay any charges for things they aren't allowed charge.

Guest101

Were you consuted about the change in management company (you should have been).

If they do not provide the service do not pay for it, but most of these things are paid in advance, so you'd have to see if they did provide it.

This is the downside of oning a flat (one of many), i'm sorry to hear about your predicament.