Property Maintenance Companies / HOAs

[deusexlumina]

Bought a place about 7 years ago and was informed that there's a monthly property management fee. At the time I did some digging and my recollection is this seemed fairly normal for some build areas. The price was good so moved ahead with purchase.

Moving forward to present day, the price has jumped from £30 a month back then to £60 today. Fairly substantial (approx 20% can be attributed to inflation). My gripe is that in terms of maintenance they do not really do anything helpful...My patch of grass is literally 6ft x 6ft....I can take care of it. Reading through T&Cs, it seems money is put aside for road maintenance etc, but it honestly just feels like a huge racket.

What are folks experiences with these types of companies? I've read it's possible to separate from them if enough residents agree.

 

[sja360]

I believe that's right in that if enough residents agree you can change from the management company.

I agree it seems a total money making scheme, even with us we were paying around £100 a month.

It was in a 6 storey about 12 flats per floor, 2 lifts either end, underground car park and communal fire alarm system. Car park we weren't even charged for thankfully. As sometimes it did flood etc.

Thankfully we got out as after Grenfell it turned out some owners couldn't sell as i think i heard it was aluminium cladding too.

 

[Semple]

Bought a place about 7 years ago and was informed that there's a monthly property management fee. At the time I did some digging and my recollection is this seemed fairly normal for some build areas. The price was good so moved ahead with purchase.

Moving forward to present day, the price has jumped from £30 a month back then to £60 today. Fairly substantial (approx 20% can be attributed to inflation). My gripe is that in terms of maintenance they do not really do anything helpful...My patch of grass is literally 6ft x 6ft....I can take care of it. Reading through T&Cs, it seems money is put aside for road maintenance etc, but it honestly just feels like a huge racket.

What are folks experiences with these types of companies? I've read it's possible to separate from them if enough residents agree.

Do you co-own the freehold with the other residents? If you only own the lease, then it's likely there's not much you can do. Do you pay a management company directly, or do you pay the freeholder who in turn pays the management company.

 

[dazzerd]

We have one of these with 30 houses all being freehold. It'd technically a private estate with all the residents owning 1 share with a bunch of covenants on the communal land. It's balls basically just pushes the cost of maintaining the close onto the residents rather than the council. We took it over a couple of years back reduced the cost from 500 pound a year to 200. But its still a scam imo. But a lot of newer estates around hear have them as the council don't want to take on the responsibility of maintenance. Wouldn't be so bad if we got a reduction in council tax!

 

[Semple]

We have one of these with 30 houses all being freehold. It'd technically a private estate with all the residents owning 1 share with a bunch of covenants on the communal land. It's balls basically just pushes the cost of maintaining the close onto the residents rather than the council. We took it over a couple of years back reduced the cost from 500 pound a year to 200. But its still a scam imo. But a lot of newer estates around hear have them as the council don't want to take on the responsibility of maintenance. Wouldn't be so bad if we got a reduction in council tax!

If it's just the road then I could understand, but if it's landscaped grounds then that should come down to the residents. A lot of people will only have the road outside their house and wont get any form of deduction in council tax .