Fleesehold / estate charges / rent charges

kemot123

Hi guys,

I am trying to figure out how to find out if there are any maintenance charges/ rentcharges/ other charges on the freehold I would like to buy before viewing the property. 

I do not want to waste time and possibly find out about it after engaging a solicitor.

Does anyone know what checks can be done/ exactly what to request from Land Registry etc. to find out about all the charges ?

From my understanding checking if roads have been adopted is a good start but not enough as there could be other things that need maintenance.

Thanks,

daveyjp

Purchase the title from Land Registry.

https://eservices.landregistry.gov.uk/eservices/FindAProperty/view/QuickEnquiryInit.do?id=p_search_link

eddddy

kemot123 said:

I am trying to figure out how to find out if there are any maintenance charges/ rentcharges/ other charges on the freehold I would like to buy before viewing the property. 

Probably a sensible starting point would be to ask the EA who would ask the seller.

The seller should know if they've been paying any charges.

Your next steps might depend on what the seller answers. The seller might have copies of the annual bills and accounts, and they might be able to give you a copy of the relevant deed.

If the seller is really dopey and has no clue, you can suggest that they phone their management company to find out more.

TBH, a diligent EA should have gone through all this with the seller before marketing the property.



Obviously, the seller might get things wrong or fib. But then there's lots of things they might get wrong or fib about (e.g. They tell you they have allocated parking spaces, when they haven't.)

kemot123

This is a sensible starting point. Maybe I should not be so paranoid about it... but then again maybe there are simple searches I could do anyway?

"TBH, a diligent EA should have gone through all this with the seller before marketing the property." -  yes, but where do I find one ? Hence why I would like to do my own due diligence.

eddddy

kemot123 said:

"TBH, a diligent EA should have gone through all this with the seller before marketing the property." -  yes, but where do I find one ? Hence why I would like to do my own due diligence.

Well... most EAs are members of the Property Ombudsman Scheme.

Their mandatory code of practice for EAs says:

4e For leasehold, commonhold or managed freehold properties you should make the seller aware that they should contact their lease administrator, commonhold association, or freehold manager to obtain material information required by potential buyers, as set out in paragraph 7k.

7k...
For leasehold, commonhold and freehold properties where the owner has a legal obligation to contribute towards the maintenance costs of a shared amenity, material information would include, but is not limited to the following:

• Amount of service charge (*), and when payable;

https://www.tpos.co.uk/images/Codes_2019_a5/TPOE27-8_Code_of_Practice_for_Residential_Estate_Agents_A5_-_Effective_1_June_2019.pdf

So the EA is would be breaking the mandatory rules, if they don't have the info. (But I'm sure some EAs do break the rules.)

If you find an EA who hasn't gathered that info, and you feel strongly ,enough - you can complain to the EA, and then complain to the ombudsman, if you want.

kemot123

So the EA is would be breaking the mandatory rules, if they don't have the info. (But I'm sure some EAs do break the rules.)

If you find an EA who hasn't gathered that info, and you feel strongly ,enough - you can complain to the EA, and then complain to the ombudsman, if you want.

I asked EA to confirm whether a property is subjected to Estate Management fees.
Reply came back: "Are you requesting a viewing appointment?"
Me: "not at this stage, I would like to find out about Estate Management fees if there are any"
EA: "Please contact our office if you wish to proceed with a viewing."

I have spoken to other people and for some reason EAs do not like these questions. Maybe it is some EAs, maybe it is most EAs - we don't have any statistics confirming what percentage of EAs do this but it is not an uncommon problem.

I could complain to the EA, and then complain to the ombudsman but meanwhile I potentially lose out on a good property and will be flagged by the EA as a "problem, do not touch" person. I don't mind it because what they do is breaking their mandatory code but I would like to buy a house first and not waste time and energy on complaining. Buying a house is stressful enough. 

Is there anything else I could do at this point (apart from complaining to the EA/ombudsman? Getting this information myself would solve the problem. I have started reading about it and it seems that getting TP1 could help? I am looking at 2x properties 1x build around 2000 and the other 2008 if this is important.