PLEASE READ BEFORE POSTING: Hello Forumites! In order to help keep the Forum a useful, safe and friendly place for our users, discussions around non-MoneySaving matters are not permitted per the Forum rules. While we understand that mentioning house prices may sometimes be relevant to a user's specific MoneySaving situation, we ask that you please avoid veering into broad, general debates about the market, the economy and politics, as these can unfortunately lead to abusive or hateful behaviour. Threads that are found to have derailed into wider discussions may be removed. Users who repeatedly disregard this may have their Forum account banned. Please also avoid posting personally identifiable information, including links to your own online property listing which may reveal your address. Thank you for your understanding.
We're aware that some users are experiencing technical issues which the team are working to resolve. See the Community Noticeboard for more info. Thank you for your patience.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!

Ground Rent - late late request. Do I have to pay? Help!

Options
A management company which has just taken over management of our block of flats (from the developer) has requested payment of ground rent - back dated to June 2006, by mid-Jan 08.

As this is the first formal request from either developer or management co. in 18 months - do I legally have to pay the backdated amounts?

They also sent the demand to my previous address!

If I must pay can I offer to pay backdated ground rent in instalments?

They want me to sign up to a direct debit but I am concerned this would be giving them a blank cheque to take what they like!

Help! M.
"You can't trust anyone these days"

Comments

  • Ian_W
    Ian_W Posts: 3,778 Forumite
    Part of the Furniture 1,000 Posts Photogenic
    A management company which has just taken over management of our block of flats (from the developer) has requested payment of ground rent - back dated to June 2006, by mid-Jan 08.

    As this is the first formal request from either developer or management co. in 18 months - do I legally have to pay the backdated amounts?
    Check your lease - unless there is a time constraint on when they can demand it - yup, you do and they can seek possession of your flat ultimately if you don't pay!

    They also sent the demand to my previous address!
    Careless, but we all make mistakes. Maybe that was the address the developer gave them, they wouldn't know you were living there and not a BTL landlord.

    If I must pay can I offer to pay backdated ground rent in instalments?
    You can offer what you want but unless the lease says it can be paid monthly, in instalments or whatever, they can decline. Might be worth a try if it's a fair sum, plead poverty and suggest you can't afford it otherwise, they may think it's better to get it over time than take your flat off you! ;)

    They want me to sign up to a direct debit but I am concerned this would be giving them a blank cheque to take what they like!
    DD's have a guarantee which basically means your bank has to refund any disputed amount they take without question - banks do try to wriggle but it is there. However, if you're not happy with a DD decline and send them a filled-in [as opposed to blank] cheque instead.
    BTW Happy Christmas

    :xmastree: :xmassign: :santa2:
  • clutton_2
    clutton_2 Posts: 11,149 Forumite
    do take care that they do not try to add on "administrative charges" which are not part of the original lease clauses. in one of my properties, my ground rent is 75p per annum - when i first bought the house they sent me a "legal-looking" document demanding £115 admin charges - i told them what to do and now they just send me an invoice every year and i post a cheque back to them - i hope they enjoy their 5p profit each year !!!!
This discussion has been closed.
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 351K Banking & Borrowing
  • 253.1K Reduce Debt & Boost Income
  • 453.6K Spending & Discounts
  • 244K Work, Benefits & Business
  • 598.9K Mortgages, Homes & Bills
  • 176.9K Life & Family
  • 257.3K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.1K Discuss & Feedback
  • 37.6K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.