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.

Management company Fees

Hello I am a recently appointed director of a block of leasehold purpose built flats and received a renewal contract from the management company . Their management fees have increased and now it’s c9k for the year (42 leasehold units , south london )
I wanted to know if that’s reasonable ?
My first time in this position so wanted to get some advice from fellow directors .


  • That's not bad. The important thing is that you're a director and can scrutinise spending, quotes and specifications for works done. And you're clearly interested in getting good value and therefore you'll be a really good director.

    With 42 units you should have lots of experience to draw on, try to find out which of your neighbours are architects, builders, engineers, surveyors etc. And try to involve them in reviewing what is going on.

    Also try to be open minded and try to learn from the management company. Don't let it become us versus them. There's a lot of law and regulations that affect them that don't affect your typical home owner. It can appear like a nice money making scheme but generally they're not bad people but have to deal with a lot of threats and harassment from a minority to leaseholders 

  • eddddy
    eddddy Posts: 16,124
    First Anniversary First Post Name Dropper
    edited 24 January at 10:46PM
    poli123 said:

    I wanted to know if that’s reasonable ?

    It's sensible to have evidence that it's reasonable - because, depending on the set-up, leaseholders can potentially take you to tribunal, if you charge them an unreasonable management fee.

    Maybe a sensible approach is to get competitive quotes from other Management Companies.

  • NameUnavailable
    NameUnavailable Posts: 2,779
    First Anniversary First Post Name Dropper
    9K versus how much last year?

    £214 per flat for management seems very reasonable however.
  • daveyjp
    daveyjp Posts: 12,385
    First Post Name Dropper First Anniversary
    What percentage of the total service charge is £9k?
Meet your Ambassadors


  • All Categories
  • 341.7K Banking & Borrowing
  • 249.7K Reduce Debt & Boost Income
  • 449K Spending & Discounts
  • 233.6K Work, Benefits & Business
  • 605.7K Mortgages, Homes & Bills
  • 172.4K Life & Family
  • 246.6K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.8K Discuss & Feedback
  • 15.1K Coronavirus Support Boards