Misinformed about service charge :(

need_an_answer

OP you might want to read up on the process called a section 20.

If you are concerned about monthly increases in line with planned expenditure then something like a roof or lift replacement or even internal decoration may come as a shock to you when you are asked for a one payment on top of your monthly expenditure in line with a section 20

need_an_answer

how old is the development ..when was it built/converted...I'd still be more wary of the ground rent increase and the diminishing lease if you plan to be there many years.

At around 80 years or so leases become a bit jittery and they are expensive to renegotiate...it may not have much bearing on your sale but if you have a savvy buyer who is looking ahead to when they want to sell...theres your problem....there would be more justification in a £10k reduction on a lowering lease than a £5 k reduction on the asking price of a property where the service charge has been misquoted by £400 per year.

ilikepancakes

109 years left on lease

Smodlet

davidmcn wrote: »

On what basis would any random third party have the right to this information? It would generally be confidential to the current leaseholders.

I am not, for one nanosecond, condoning the OP's attitude but surely any potential buyer has a right to know what the current service charge for a leasehold flat is, do they not? I understand it can change five minutes after the conversation and that this is what solicitors (not EAs) are for but they do have a right to an accurate figure at a frozen moment in time, don't they?

What about casual buyers who are looking at several flats in several different buildings? Do they not have a right to know at least within, say £10-50 what kind of charges they might be liable for? I don't really see how this is privileged information. The fact it is not confined to one individual dwelling makes it less sensitive, doesn't it?

I am honestly not trying to derail the thread; I genuinely want to understand.

need_an_answer

ilikepancakes wrote: »

109 years left on lease

That's not a long time in terms of leases...the best are around 999 years from development.

Its much more common now to get 125 years from development so dependant on what sort of planning applications there may be in the future when you come to sell in 10 years time your place may not be as attractive lease wise as somewhere else

ilikepancakes

Smodlet wrote: »

I am not, for one nanosecond, condoning the OP's attitude

Are you condoning EA/Seller altitude then?

AdrianC

need_an_answer wrote: »

That's not a long time in terms of leases...the best are around 999 years from development.

Its much more common now to get 125 years from development so dependant on what sort of planning applications there may be in the future when you come to sell in 10 years time your place may not be as attractive lease wise as somewhere else

Exactly - 125yrs from development 16 years ago is 109yrs now.

Comms69

ilikepancakes wrote: »

Are you condoning EA/Seller altitude then?

They made a mistake. I think you are overreacting

kingstreet

ilikepancakes wrote: »

Yesterday I called other agency that is selling other flat in the nearby bvuilding and asked for the service charge. They replied to me straight away with figure of £2588

But what we're all saying is until your solicitor has verified it THIS should ALSO be treated with the utmost suspicion, is it's quite possible it's really £2,988!

Any decent EA should only supply such information if they have first verified it and obtained sufficiently robust evidence they feel they can rely on.

Often they are unable to do that, so they won't confirm tenure, or lease term or anything else and will settle on a standard disclaimer "we are led to believe XYZ but recommend potential purchasers verify such information prior to making a commitment to purchase."

bouicca21

Is it that difficult for me to check the precise payment? No, but it’s a faff and I have better things to do than look out past bills for people who may or may not be serious buyers. I am charged quarterly, for actual expenditure, so some quarters are high some are low.

A serious buyer is one who has instructed a surveyor And a solicitor/conveyancer. Before that they are just potential buyers, or, worse, one of those weirdos who has nothing else to do at the weekend than nosing round other people’s homes.