Property management fees

Heidibag · 6 August 2018 at 5:16PM

Can anyone advise of the following.
I own a flat and pay maintenance fees. The management company carried out some works and demanded payment from everyone. I cannot afford the pay for the works for the amount that they wanted in a short space of time. So now the property management company said that they will add it to my mortgage. Firstly, how can they do this? Secondly, my mortgage company advised that they couldn't do this and thirdly, even if they are successful in doing this, does it affect my credit rating?

kuratowski · 6 August 2018 at 5:29PM

I think you must have misunderstood, most likely they were suggesting to you that you should add it to your mortgage, not that they would somehow do it on your behalf (which would be impossible).

Maintenance fees are an obligation you signed up to, under the lease. Unfortunately the amount is what it is and you're very unlikely to be able to avoid it.

Your choices are essentially (1) borrow the money (add it to the mortgage is the cheapest way) or (2) sell your flat and move out.

Heidibag · 6 August 2018 at 6:04PM

I am hoping to sell it next year as the property managment company are awful. I am aware i have to pay it.

Dandytf · 6 August 2018 at 7:16PM

Heidibag wrote: »

Can anyone advise of the following.
I own a flat and pay maintenance fees. The management company carried out some works and demanded payment from everyone. I cannot afford the pay for the works for the amount that they wanted in a short space of time. So now the property management company said that they will add it to my mortgage. Firstly, how can they do this? Secondly, my mortgage company advised that they couldn't do this and thirdly, even if they are successful in doing this, does it affect my credit rating?

I couldn't; manage £500 property management bill on time a few years earlier
They managed to Auto add it to my natwide mtg-without me being informed.
Although I was quite shocked =I wish I could pay another few from my mtg overpayments which Natwide states they cannot allow any further property management bills to be added to my mtg.

Heidibag · 7 August 2018 at 10:04AM

so the crux of it is, yes they can do it.

Dandytf · 7 August 2018 at 10:50AM

Heidibag wrote: »

so the crux of it is, yes they can do it.

Not through choice and not as often as one would like.
I never pursued going to a lawyer thought at the time -I'm still shocked that any company can access and debit sums from a personal mortgage account,
That has never been answered yet

National_Debtline · 7 August 2018 at 11:19AM

Hi Heidibag

It is possible for the management company to ask your mortgage lender to pay the bill if you cannot do so. This could put you into mortgage arrears if your lender does not agree to add it on to the balance of your mortgage. However, given your mortgage lender has stated they cannot do it, you need clarification whether your lender is refusing to pay the bill or perhaps the adviser you spoke to did not know it was an option.

Other options available for the management company will be to apply for a CCJ for the debt, or consider repossession due to you forfeiting your lease by not paying the bill. You can get specialist advice on your lease from the Leasehold Advisory Service https://www.lease-advice.org/.

I would suggest you get in touch with one of the free debt advice agencies for more advice on this. It may be possible to negotiate a payment plan on the bill if you cannot afford to pay it in one go.

Best wishes

Susie
@natdebtline

Heidibag · 7 August 2018 at 1:25PM

Thank you

I have contacted lease-advice.org in the past for other property issues and even though they replied to say they had received my email they never offered any advice regardless of how many times i chased them. So as i want to sell and move i don't want to risk my mortgage application so will try and negotiate.

Property management fees

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