freehold property annual service charge

[AuntieLydia]

I think information may have been withheld from me when I bought my house and not sure what I can do about it. I've been told I have to start paying an annual service charge of £240 for maintenance of common areas of the housing development I live in, starting in January.
It's not a gated community, everywhere is open to the public.

This was unexpected. I'm an owner occupier, the house is 20 years old, freehold, bought 10 years ago. I've looked in the house deeds and the other paperwork from the house purchase and can't find anything about a service charge.

I've googled and found info on "Fleecehold" but this seems to be more about people buying a new house rather than my situation.

Does anyone have any advice or experience.

So you've not paid anything for the last 10 years ?

Who has told you you’re required to pay a service charge? The developer? A home owners’ association? If there’s nothing on your deeds which says you’re required to pay then it isn’t enforceable, unless you have a service agreement separate from the deeds.

Wasn’t there a thread about this a couple of years ago and it turned out to be a scam ?

check your lease. just because the charge has not previously been levied doesn't mean the landlord isn't entitled to - are they providing services that weren't previously supplied? Is there a management company change?

Surely if she’s freehold there won’t be a lease...?

No lease on a freehold property.

Do you have the TP1 form from the conveyancing? This should detail whether any management company/ charge exists. Who is requesting the payment?

I think I might know where you live - a friend of mine is on the residents committee trying to implement this. Is there a shallow body of water involved? There should be something with your deeds. Just because it hasn't been levied in the past doesn't mean it's not due.

How can it be freehold?

Do you own part of shared land at all? That's the only way I think of cost being leivied when your house is freehold?

Who has been maintaining the public land until now unless the council if no one was paying?

squashy yes you've got the right place, well spotted .

My first thought was, it's a scam, the letter doesn't look very professional or inspire confidence that "The Directors" will spend my money wisely. No name or address of sender, just a hotmail email address.

I've got loads of questions, can they keep putting the charge up, what exactly will they spend it on etc but don't want to contact the directors at this stage until I find out if I've somehow been miss-sold the house. I bought it without knowing I might have to pay an annual service charge when it was 20 years old.

Who has been maintaining the public land until now unless the council if no one was paying?

I think it may have been Persimon. Perhaps the Deeds of Transfer referred to in the letter is the transfer of management from Persimon to the Estate Management company.
very

Ok so if the Deed of Transfer included this as mentioned, and it wasn't highlighted to you, you may have a claim against your conveyencing solicitor I would guess.

It sounds as though there is a clause that states you can be charged for maintaining public areas. The fact that it wasn't previously doesn't mean they shouldn't have drawn your attention to it, precisely to avoid the situation you now have and likely ever growing costs.

This is completely normal - most new build housing developments these days have a service charge payable by all the freeholders for the maintenance of common landscaping, play areas etc

It may be just that Persimmon are only just getting around to appointing a management company especially if the development has been a very long running new build estate

Looks like a residents management company, so if you want an influence you can apply to be a director.

Can they keep putting the charge up? Largely, yes, this area is unregulated.

Have you been missold? It depends on what the TP1 form states, it's likely this is all detailed in there. If not, unfortunately you're outside the six year statute of limitations, so your right to recourse will be extremely limited.

Is it 6 years? That's a bit shit if in some cases they only start charging after 20 years (ok only 10 for this owner).

Yep, six years from when the breach took place. In Scotland it is five years from when the is breach is discovered, which is far more fair, but no help to the OP.

Also I doubt there is a breach, more likely a lack of explanation from the solicitor. I've seen many fleecehold complaints/ queries, and only once found that it was not in their documentation.

It is possible to complain about the solicitor, but any formal action against them would also be time barred, should they not admit fault.

Perhaps it'll end up like PPI miss-selling and people can claim back no matter how long ago.
Googling shows the govt is aware of the need for regulation so there should be a law at some point.
I don't mind paying as long as it's fair and well managed, and not increased every year.

I don't mind paying as long as it's fair and well managed, and not increased every year.
Join the management committee and you'll have a say.

oops yes - didn't clock it's freehold!

The Hotmail email address doesn't inspire much confidence. Have you been given access to the minutes for the meeting and were you informed the meeting would be taking place?

Join the management committee and you'll have a say.

Good idea, will look into that.

with that bad English and a Hotmail address it is hard to believe it is not a scam?

Pineapple I didn't know about the meeting. My neighbour says he got a small slip of paper about 3" x 2" through the letterbox saying the 6 monthly meeting would be by zoom, but no agenda.

Out of interest how large is home development? Are there large areas of open space that require maintenance or play areas?