Am I alone in thinking maisonettes are better than flats?

[WombatChocolate]

So, was planning to buy a flat....to live in and possibly let out in a few years. Looked at a few in purpose build blocks and conversions in old houses. Some good, some grotty. All however seemed to have downsides of pretty high service charges related to maintenance and communal areas, plus the risk of having neighbours or management companies who might not keep the communal areas well.

Then I saw a maisonette - for those unfamiliar with the term - a flat with its own private entrance. This particular one was in a building which looks like a detached house, built in 1990s but in Victorian style like houses in road, containing 2 maisonettes - 1 on ground floor with front door at side ;the one for sale) and one on 1st and 2nd floor. Both have a parking space out front and a small private garden at back. Price similar to flats nearby.

The maisonette seems to have huge advantages - private entrance and no communal areas - so no risk of untidy neighbours or dirty or unkempt communal areas letting it down. No service charges - a big saving - so whilst both maisonettes pay freeholder for buildings insurance, they work out maintenance between them - and looking at records, it has been zero many years and a couple/few hundred at max on the odd year....far less than the maintenance charges of flats, plus in the control of the 2 owners. And then the positive of private gardens even if small.

Strikes me that your usual young buyers might like to buy or rent such a property but it also might have more appeal to a small family or older couple than a flat due to private entrance and garden.

So am I alone in wondering why we don’t hear more about maisonettes? They don’t seem more expensive, have separate kitchens which most new build flats don’t seem to have, the private entrance and garden and no hefty management charge.

Why aren’t they significantly more expensive and popular than your standard flat? Am I missing something?

Thanks!

I think because there aren't that many of them around compared to houses and flats.

Loads of them where I live but we call them Tyneside flats, basically terraces full of upstairs and downstairs flats with their own entrances, very popular

Tyneside flats are a specific type of layout, there's a few legal issues around them, worth doing more research if this is what you're looking at.

I have a maisonette, which is bigger than most two bed houses and more efficient use of space. However the downstairs maisonette is much smaller because my entrance hall and stairs are in their space.

Is the maisonette leasehold or commonhold? There needs to be a formal arrangement for maintenance charges (not just insurance), and how they are apportioned. There should be a sinking fund too, even if work is not needed immediately.

I'd check that you are not responsible for the roof if you have the top storey of the building. As PP mentioned, check who is responsible for maintenance.

I know someone who lives in a maisonette and they have a small section of the garden that is theirs as well, so has somewhere to sit outside which is really nice.

The lease says the 2 freeholders are each responsible for 50% share of maintenance work as required.

So if it’s roof or walls or foundations or fence or whatever it is equally shared.

Yes the downstairs maisonette is smaller - it is 1 bed and just ground floor whereas upstairs has both first floor and a loft room so 2 beds.

Does this maintenance arrangement seem good enough bearing in mind just 2 maisonettes? As I say, from the accounts, most years nothing has been spent (it was new in late 1990s) and some years a couple or few hundred each - seemingly on guttering, some external decorating and fence replacement. I’d have thought many houses often go several years without spending much on external maintenance too, esp if relatively new.

Sorry meant 2 leaseholders, not freeholders.

There needs to be a sinking fund. You can't rely on things always being amicable with your neighbour, and don't want to end up with urgent work being needed and a dispute because one of you can't afford it. Any competent solicitor will check for this as part of the conveyancing process.

You also need to check what the ground rent is, and whether it might increase in the future. There have been big problems with ground rents that are very low at first but then double every ten years.

Also of course check the length of the lease remaining.

It sounds like the freeholder self manages the properties currently. Be aware that if they appoint a managing agent your bills could go up considerably. That won't be a problem if the other owners run their own resident management company, but that seems unlikely as they're still paying the LL for insurance.

Thank you. No there is no sinking fund.

But I’ve heard too of blocks of flats whose service charge covered weekly cleaning, grass cutting and minor maintenance but required extra from leaseholders for occasional big projects. These didn’t usually have a sinking fund.

I can see there could be disputes about work and the expense involved. I assume that if there were a dispute it would be possible to get the freeholder involved to enforce the lease terms of paying 50% each - obviously not ideal, but if as a last resort.

On balance, given avoiding a £1-2k yearly service charge, which is mostly spent on cleaning communal areas, and having some control over what work is needed and when to do it, I think that with just 2 leaseholders id prefer the arrangement of paying as and when. I might change my mind if there’s a big dispute of course!

This is a building with 2 maisonettes. Apart from taking out buildings insurance (which leaseholders are billed for) and billing for ground rent (novdoubling clauses) there is no management as such - the 2 leaseholders are jointly responsible for it. The freeholder is not involved although I guess would become involved if they became aware there was a maintenance issue which wasn’t being dealt with as per the lease, to then enforce the lease.

Is this no sinking fund and no service charge unusual in small blocks of maisonette?

Do most maisonettes have a service charge? If not what agreements exist for maintenance in the leases?

Very grateful to hear from anyone with maisonettes or knowledge about this.

Realise that whilst there isn’t a monthly maintenance payment due, as owner I still need to budget for maintenance and to expect to pay out for it.

My two adult children live in a 2 bed first floor maisonette. They looked at flats which had a £130 pm service charge for cleaning, gardening etc but this had no sinking fund either. Additional funds needed from owners for any additional expense. Their lease specifies that both ground and first floor maisonettes share any expenses for repairs, maintenance of building, whether it’s for roof or whatever. Can’t see the point of paying £1500 pa for cleaning, gardening etc.we have lots of maisonettes locally. They are very popular and seem to sell quickly.

My first place I bought was a maisonette. I loved that place. Definitely better than buying a flat if you can afford it.

Sinking funds are a must whether in a block of flats on a maisonette. There always needs to be a kitty for maintenance.

OP the maisonette you describe was built in the 1990s so around 25 years old? I would expect some work would need doing over the next 5 - 10 years then.

My first place was an ex council maisonette. I was downstairs and had my own garden which was fab. We paid service charge and repairs of things like the guttering to the council.

I'd be very wary of this particular property. It has no sinking fund, a minimal amount has been spent on maintenance and it's around 20 years old. This is exactly the time when big bills start happening....new windows and door, new roof, etc. OP you seem to think having no sinking fund is good news when in fact it's the opposite. It means the previous owners over the last 20 years haven't contributed a penny and whoever owns the property when all these major works are needed (which is usually every 15-30 years) is going to get hit with the big bill in its entirety. Not good. Perhaps you have the money to cover this so it isn't a concern - although please make sure the lack of sinking fund is reflected in a lower property price - but the other leaseholder may not have the money so you could be 50% down. You really need to think this through.

(I work in housing, most recently actually specialising in sinking funds and service charges so this is an area I know extremely well).

Thank you for all your comments. Useful and thought provoking.

It seems to me that unless a maisonette is ex-council, no service charges and no sinking fund are usual. Am I right in thinking that?

I totally understand that if a big expensive maintenance issue occurs, the leaseholders at that point end up paying the full whack - I guess that’s the same with a house - if the roof needs replacing, whoever owns it at that point is hit with the cost.

I take on board the possible problems re both parties paying up.

Given that I’m now so keen on maisonettes, does anyone have one which isn’t ex-council which DOES have a sinking fund and/or more specific maintenance agreement than that which this lease has (2 leaseholders equally responsible for 50% of any maintenance)

I am trying now to ascertain if this maintenance agreement is unusual for maisonettes or usual.

Hundred - if it’s usual, would you advise instead going for flat in block with all the usual service charges which cover maintenance? I hear they often still request extra for big projects and you have little choice on timing or cost. Is this better?

Technology we live in a mansionette but it’s called a flat on deeds. It’s pretty much like living in a house except there are people underneath.

Do modern flats really not have their own, separate, kitchens anymore?

I lived in a wonderful 60's maisonette in Zone 2 for many years. 1200 sq feet, own entrance, private garden, stairs to bedrooms and bathroom, big kitchen diner and separate lounge, downstairs loo and two huge cupboards and a garage! Light and warm but unfortunately decided to move to buy our own house which was considerably smaller. I loved it and often wonder why more weren't built.

i would be wary of noise if it's not purpose built

would you advise instead going for flat in block with all the usual service charges which cover maintenance?

I think it depends on the flat/maisonette although generally I find flats in blocks to be a safer investment as there is less risk when it comes to other neighbours not contributing to maintenance/major works etc and this should all be dealt with by the managing agent in the majority of cases. Of course it all depends on the building/block which is why it's important to make sure you understand what you're signing up to before you buy.

For example, due to the Brexit impact on the property market, sales of new flats are much more competitive than they used to be. In order to be more competitive price-wise, some developers have been cutting the sinking fund contribution so buyers think their flat is cheaper to buy as the service charges are less. But this is a false economy as those buyers are going to get hit hard in the future when major works are needed. Of course they may only intend to own the flat for a year or two so reduced sinking fund contributions work in their favour. But if you're buying with more long term ownership in mind, you need to take this into account.

I hear they often still request extra for big projects and you have little choice on timing or cost. Is this better?
Yes, quite often you still need to make an additional contribution to major works. It depends how big the sinking fund is and what % provision has been made. For example, some sinking funds ask for 75% of projected future costs so you might still need to top up the remaining 25% if interest on the sinking fund isn't sufficient. Some ask for only 50% (try to keep away from these if you plan to own long term). And some sinking funds only cover certain components so you may be asked to cover something which isn't included. But under UK legislation you need to be consulted in advance, and housing law is very prescriptive as to how much notice you should be given, what say you have when choosing contractors, what amounts can be charged back to the leaseholders. If a freeholder/managing agent etc doesn't follow the exact process set down in law (known as Section 20), the most they're entitled to claim back from each household is £250. So there are protections in place.

The important things to make sure you and your solicitor understand are what your service charge covers, how it's apportioned, what your sinking fund covers, what % projection is the sinking fund, is the sinking fund on track, when were major works last undertaken etc. You'd be amazed how many people don't pay any attention to this. When you're comparing two similar properties, this could make all the difference when choosing which to buy.

The noise can be an issue too.. ie if you’re on the bottom your bedroom upstairs which could be directly below neighbours washer/dryer/house party. And if its not well sound proofed you could be listening to to more than you’d like while watching late night tv if you’re on top.. or have multiple noise complaints about stuff you wouldn’t have in a house (no one under you) or a flat (same layout usually so bed above bed not living room/kitchen)

I live in a lovely Victorian two bedroom maisonette with a shop downstairs.

It's so much bigger than the vast majority of two bedroom houses in the area.

We have no sink fund or service charge, but split the cost of work with the shop. The freeholder actually paid the last bill and we paid them our share.

So far so good.

If this is the same as a duplex, i agree with you. I want to move out of my small house and in to a duplex with a balcony. Own front door but no garden to look after.