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Service charge properties management

I own a flat in a building complex. There is service charge provided by a management company, for landscape maintenance and others.

Who should pay it, the owner or the person who is renting the property

regards

Comments

  • agrinnall
    agrinnall Posts: 23,344 Forumite
    10,000 Posts Combo Breaker
    The owner. Costs of ownership should be factored into the rent asked for the property.
  • The owner of the flat next door to mine, which is rented out, pays the service charges herself. The tenant pays for utilities and Council Tax.
    Who having known the diamond will concern himself with glass?

    Rudyard Kipling


  • The owner of the flat next door to mine, which is rented out, pays the service charges herself. The tenant pays for utilities and Council Tax.

    thanks everybody for your reply
  • patman99
    patman99 Posts: 8,532 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker Photogenic
    Depends. The owner is liable. The rent charged should include the service charge but NOT utilities.
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  • agrinnall
    agrinnall Posts: 23,344 Forumite
    10,000 Posts Combo Breaker
    patman99 wrote: »
    Depends. The owner is liable. The rent charged should include the service charge but NOT utilities.

    I would say that the owner has to pay it, in particular as it is very likely to include insurance cover for the building. If that responsibility was left to the tenant and they just didn't bother then the LL could be left penniless and attempting to sue the tenant in the event of something like a major fire.

    Personally I don't think the tenant needs to know anything about the service charges, the LL should simply set the rent at a level that covers that cost along with all the other costs of ownership plus profit margin. Whether utilities are included in that or not are down to the tenancy agreement - I would be uncomfortable with it both from a tenant and LL perspective, but as long as it's done properly I don't think it's illegal.
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