Taylor Wimpey - Service Charge on freehold

ozmusafir

I reserved a Taylor Wimpey newbuild recently and notice there is a service charge to maintain the communal areas. I'm worried about this since the property is a freehold, the management company can charge as they wish and I don't have a leg to stand on. According to the reservation form it's currently £228 and will raise in 10 years with inflation. When did this ever become a thing?

davidmcn

ozmusafir wrote: »

When did this ever become a thing?

Since decades ago, when councils stopped readily taking over liability for landscaped areas / access roads for maintenance.

ozmusafir

^^ dammit.

Did anyone experience sharp increases in the charge?

BuzzLightyear

ozmusafir wrote: »

^^ dammit.

Did anyone experience sharp increases in the charge?

No. Mines not budged in 4 years. Though when the council adopted the park as part of the estate i note it didnt go down!

Generally the size of the charge isnt a big worry...its not going to rocket.
And in any event the estate owners can at a later date club together and replace the existing management company.

....if you're not too busy chasing them for not doing any of the maintenance...or like in my road have two guys with leaf blowers clearing the street then at the end of the cul-de-sac blow the whole lot up the last houses drive way

Ithilien

Join the Homeowners Rights Network group on Facebook - lots of people in the same situation!

flashg67

Our developer ran the management co whilst building & we all chipped in approx £200 at the start. It is now about to be run by the residents and we'll be paying about £100 pa.

stator

The main question is whether the owners of the freehold will have the right to replace the management company. If they do not, then I would not buy a house in this situation.

You also have to get your solicitor to check what is included in the service charge. If the estate has it's own private sewage pumping station then this can cost large amounts of money in the future. I would refuse to buy a house that has a private sewage pumping station, the developer SHOULD be building it to a standard that the local sewage company will adopt it. If they aren't adopting it, then you will be paying for it forever.

ozmusafir

I checked the paperwork and the residence must pay to manage the Road and green area. I need to check if the roads are made to specification, if not the councils won't adopt it. We are still waiting for the contract paperwork to arrive. I will report back any updates.

CM66

I guess it depends on the management company, i've been in my house coming up to 9 years and i think my charge might have gone up by about £10 total in that time (i pay about £130 a year)

aj23_2

ozmusafir wrote: »

I reserved a Taylor Wimpey newbuild recently and notice there is a service charge to maintain the communal areas. I'm worried about this since the property is a freehold, the management company can charge as they wish and I don't have a leg to stand on. According to the reservation form it's currently £228 and will raise in 10 years with inflation. When did this ever become a thing?

We were surprised too. Apparently it's been at least 10 years.

Taylor Wimpey is fixed for 10 years, then after it rises by RPI.

However Countryside, Persimmon and Bovis are all variable from year to year, meaning in year two they could up it from £200 in year one, to £400 in year two and again if they like.