Ground Rent Arrears

sherer

Hi

I moved into my property three years ago. I setup direct debits for all my charges and thought I was paying all my bills for the property.
At the end of November I received a letter for ground rent arrears. After calling the management company it seems that after everyone on the new estate moved in they never collected ant ground rent.

The leasehold has now been transferred over to a new company who are demanding this be paid in full by the first week of January. With December being one of the most expensive months of the year, and the money not having been received for three years, I feel this is a little unfair.

The letter didn't even explain the situation properly and why I was being asked for three years ground rent all in one lump sum.

I plan to write to the leaseholder shortly, but just wondering if anyone knew where I stood legally. Can they just demand this money all in one go ?

Hoploz

I'd say that if it's written in to the lease that the ground rent is payable, they are going to collect it.

Realistically they will realise its not going to be possible for everyone to pay straightaway. They are probably just asking in the hope that some people will. If you can't you can't. If you don't pay it then I'd say it is pretty unlikely anything is going to be done other than sending you reminders.

You could perhaps pay a certain amount and write a letter detailing when you will be able to make up the full amount, eg x per month.

eddddy

Take a look here: http://www.lease-advice.org/article/ground-rent-a-demanding-notice/


If the demand for payment isn't in the prescribed format, you can use that as an excuse for delaying payment...

And it looks like they must give you a min of 30 days (and max of 60 days) notice.

But you will almost certainly have to pay. (And you could argue that they have let you hold the money interest free for 3 years.)

G_M

I assume that in fact YOU are a leaseholder? And it is the freeholder (or their manco) that is demanding the ground rent from you?

Providing the demand comes in the right format, for the right amount due, then it must be paid. Payment can be demanded up to 7 years in arrears.

Any leniency granted due to the demand coming at an inconvenient time is entirely discretionary.

marksoton

sherer wrote: »

I moved into my property three years ago. I setup direct debits for all my charges and thought I was paying all my bills for the property.

Did you not think to check? I would.

And yes it's the freeholder you need to contact. Phone the leaseholder and you'll only get an engaged tone!

sherer

eddddy wrote: »

Take a look here: http://www.lease-advice.org/article/ground-rent-a-demanding-notice/


If the demand for payment isn't in the prescribed format, you can use that as an excuse for delaying payment...

And it looks like they must give you a min of 30 days (and max of 60 days) notice.

But you will almost certainly have to pay. (And you could argue that they have let you hold the money interest free for 3 years.)

Thanks for the link. Checked the letter mentioned there and this is an exact copy of that.

Should have made it clear, I have no problem with paying this, it's part of the charges of living in a flat. Just a bit annoying that they can make a mistake and not charge, and then demand the money between 30-60 days. If this is three years old then there should be more leeway to pay this back.

HouseBuyer77

Just a bit annoying that they can make a mistake and not charge, and then demand the money between 30-60 days.

Well you were aware that ground rent was payable, but you weren't paying it so it shouldn't be too much of a surprise!