Misinformed about service charge :(

NeilCr

Who told you. The vendor or the EA? Have you actually asked why the variation?

They may not have known the exact figure. I'd have to look mine up - I know it's between £550-£600 (house not flat) but would have had to give an approximate figure if asked directly

Is there a possibility that the service charges have gone up in the three months? Our service charge year is Jan-Dec but I am aware of variations at other developments.

I am inclined to go with the no big deal myself. I understand your concerns about being misinformed but, to be honest, you could have moved in thinking £2k and walked into a big increase on that next year

ilikepancakes

EA told me the service charge during the first and only viewing. I haven't asked yet as I have received documents from my solicitor today and I see service charge is £2400. I think what and how to do.

If they haven't know exact figure it is not an excuse to say it is £2000, and I took it into consideration and I was prepared maybe up to £2100. If they did not know then they could check it and get back to me with correct number.

Comms69

ilikepancakes wrote: »

EA told me the service charge during the first and only viewing. I haven't asked yet as I have received documents from my solicitor today and I see service charge is £2400. I think what and how to do.

If they haven't know exact figure it is not an excuse to say it is £2000, and I took it into consideration and I was prepared maybe up to £2100. If they did not know then they could check it and get back to me with correct number.

I take it you've never made a mistake?....

AdrianC

ilikepancakes wrote: »

It has swimming pool and gym exclusive to the residents of the estate, private park, overal really nice place.

No wonder the service charge is high.

Remember, the service charge is your flat's share of the cost of providing and maintaining the facilities, common areas, building structure. No more, no less.

ilikepancakes

Comms69 wrote: »

I take it you've never made a mistake?....

Of course I did but it does not mean I can't be mad now. This is not selling rice for £1 but a flat for a quarter of a million.
Mistake has been made, now somebody has to pay for it - me keeping my mouth shut and paying £400 more than agreed or them lowering the price

Comms69

ilikepancakes wrote: »

Of course I did but it does not mean I can't be mad now. This is not selling rice for £1 but a flat for a quarter of a million.
Mistake has been made, now somebody have to pay for it - me keeping my mouth shut and paying £400 more than agreed or them lowering the price

Because getting mad will fix the problem?


I don't see the issue to be honest; you either pay the extra £35 a month (hardly a huge amount of money) or you ask them to lower the price.


But getting angry over this minor mistake isn't helpful. I think you're going to be incredibly stressed out by the buying process tbh

kingstreet

If this was an important issue, asking verbally at a viewing should have been backed-up with a formal, perhaps even written request so you got the firm answer you required earlier in the process.

EAs are often not given cast-iron information from their vendors early in the process and experience of a previous sale in the same block "at about £2,000 per annum" would seem a reasonable answer in the circumstances described.

Had it been me, I would have backed it up with "your solicitor should establish the lease terms and charges prior to you deciding to proceed" so I wouldn't have made a definite statement to you either way...

NeilCr

To be honest I think you need to ask the question "why the discrepancy between the two service charge figures?" and get the answer before you go off on one.

There are a few reasons why this could have happened. Most likely it's in the communication between the vendor and the EA but there could have been an increase in the intervening period for example.

ilikepancakes

kingstreet wrote: »

If this was an important issue, asking verbally at a viewing should have been backed-up with a formal, perhaps even written request so you got the firm answer you required earlier in the process.

Wait, are you saying that I should ask for everything formally in writing after asking verbally in the firstplace?
I thought that service charge is important.

I'm sorry but I'm not sure if I understand last part of your post. When I said I proceed i mean instructing the solicitor. And because I asked the Estate Agent how much is the service charge I havent told my solicitor to establish it as soon as possible.
There were a lot of other questions I asked as well, so I think it is reasonable to take the answer verbally.

I agree, they just did a mistake, it happens.
But the question is - what now?
I know I can proceed or ask for £5k reduction and be prepared to be declined. But I don't understand why people above are surprised I'm pi*sed off.
I have paid for the solicitor, I have lost 3 months and now I have to pya extra £400 every year because of somebody's mistake?

kerri_gt

ilikepancakes wrote: »

To be honest I think it is a dealbreaker for me and if the seller don't want £250k than I'm not going to pay more.

Whether you were misinformed intentionally or otherwise, there's your answer there pretty much then.

There are a number of reasons the £2k has become £2.4k, perhaps an increase in the intervening period where the sale has been progressing, or a simple error, or misunderstanding of 'about £2k' being taken as fact along the chain. However, whatever the reason, if you're not prepared / able to pay £2.4k (and service charges like many things only go one way) then now is the time to walk away - even if you get a reduction in the price, there's nothing to say the £2.4k won't increase by another £400 next fiscal year and so on.