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Management fees on leasehold flat

SpanishSteps
SpanishSteps Posts: 1 Newbie
edited 23 November 2023 at 10:59AM in House buying, renting & selling
I live in a one bedroomed flat over a commercial, and had agreed a  service charge by size. Recently FP changed this to equal %ages and I have found my service charge has doubled and a neighbour who has the largest flat has seen her charge reduced dramatically probably because she complained and never paid. Is this legal ? We were never told . Thanks S

Comments

  • DullGreyGuy
    DullGreyGuy Posts: 15,431 Forumite
    10,000 Posts Second Anniversary Name Dropper
    What does your lease say?

    Our current one says we pay 1/35 of all costs (there are 35 units in the building) and our previous one it was apportioned by footprint. A previous neighbouring building had a much more complex mechanism as G and 1 flats didn't pay towards the lifts
  • user1977
    user1977 Posts: 16,527 Forumite
    10,000 Posts Sixth Anniversary Photogenic Name Dropper
    Would be better on the House buying board: https://forums.moneysavingexpert.com/categories/house-buying-renting-selling

    When you say "had agreed" a service charge, what do you mean? It ought to be determined by the lease. What did your solicitor advise you about it when you bought?
  • MSE_ForumTeam5
    MSE_ForumTeam5 Posts: 1,154 Community Admin
    Part of the Furniture 1,000 Posts Photogenic Name Dropper
    We've moved this to a more appropriate board
    Official MSE Forum Team member. Please use the 'report' button to alert us to problem posts, or email forumteam@moneysavingexpert.com
  • eddddy
    eddddy Posts: 17,427 Forumite
    Part of the Furniture 10,000 Posts Name Dropper

    As above, have a look at your lease to see what it says about your share of the service charges.

    Often the lease will specify a fixed percentage - like 25%.



    Or sometimes a lease might say something like.... You have to pay a fair, a proper, or reasonable proportion of costs incurred by the landlord.

    But a clause like that usually states that the landlord’s surveyor should determine what your proportion should be.

    If your lease has a clause like that, you should ask what the basis is for deciding that you should pay the same as your neighbour.


  • eddddy
    eddddy Posts: 17,427 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    edited 23 November 2023 at 11:27AM
    I live in a one bedroomed flat over a commercial, and had agreed a  service charge by size. Recently FP changed this to equal %ages and I have found my service charge has doubled and a neighbour who has the largest flat has seen her charge reduced dramatically probably because she complained and never paid. Is this legal ? We were never told . Thanks S

    Just to add....

    You mention FP - is that FirstPort? 

    If so, they are not the type of company to let leaseholders get away with not paying their service charge.

    More generally, not paying a service charge can quickly become very serious. It can end-up with a leaseholder losing their flat.

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