Should I tell my mortgage company about our useless property management company?

Cramy

Hi
We own a flat in a block of 12 flats. The property management company to whom we are paying the service charge are not maintaining the property at all and the property is falling into disrepair. This is having an impact on the selling price of flats in the building. I'm working to apply pressure to the management company to do their job and one suggestion I have had to help with this is to inform our mortgage company of the problems as they have a vested interest in maximising the property's value. When I mentioned I might do this to the property management company rep they became very defensive so it seems to have touched a nerve. However, do I risk the mortgage company in some way increasing my costs if they see a risk to the property value. In short, could I be causing myself more problems that I don't need? Any advice very gratefully received.

eddddy

The mortgage lender has no business relationship with the management company, so they cannot put any pressure on them.

More likely, the mortgage lender will put pressure on you and tell you to get the problem with the mgmt co resolved.


If the freeholder (or their management co) are not maintaining the property in line with what they have agreed to in the lease, there are a number of options available to you:

As a starting point, go to: http://www.lease-advice.org/information/faqs/print_faq.asp?section=18

and scroll down to "What can I do if my landlord breaches their obligations in the lease?"

Cramy

Hi
Apologies for the delay in responding, that's really helpful and has saved me some aggro. Much appreciated. A further question if possible: when we bought the flat we were told that exterior redecoration on the flat was to be done. This hasn't been done and it's desperately needed. The management company are saying they need approval from all the flat owners in the building to go ahead. However the management company are also the freeholder so are they not able to in some way force the owners to go ahead, or to do the work and then bill the flats?
Many thanks for your time with this and a speedier reply will be forthcoming this time!