Service charges and other issues
A guide to service charges, administration charges, ground rent, recognised tenants associations and forfeiture.
The landlord cannot insist that you pay more than the rent set out in the lease.
The ground rent is usually fixed in the lease, but some leases contain a rent escalation clause which allows the ground rent to be increased in certain circumstances. The ground rent may increase by fixed amounts at set intervals. For instance, the lease may start off with a ground rent of £50 pa and then after 33 years increase to £100 pa with another increase perhaps in 33 years time. Or it may increase after a set time in accordance with a formula such as a percentage of the rental value of the property. Alternatively, any increase may be in accordance with a recognisable and published formula such as the retail prices index.
More information you might find useful:
- Ground rent and its escalation
- Service Charges and other issues: Ground rent
- More Frequently Asked Questions on Ground Rent
- Click here to download the form of rent demand notice
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