Service charges and other issues
A guide to service charges, administration charges, ground rent, recognised tenants associations and forfeiture.
Matthew D owns a house on a newly built estate in Manchester. The estate is looked after by a residents’ committee. All the houses need to pay ground rent, but the freeholder has asked the chairman of the committee for all the ground rent, rather than asking each house owner individually. Mr D sent in his lease to advice on the matter.
The LEASE adviser explained that the committee needs to collect the ground rent from each house owner, using the proper form of rent demand notice. The money then needs to be paid to the freeholder, who does not have to use a particular form when asking for the rent.
Mr D said, “The service was excellent. I wish I had known about this before.”
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