Back to site

©2024. All rights reserved.
Crafted by 4Property.

Am I legally obliged to pay service charges?

As you signed into a contract with the Owner’s Management Company upon purchasing your property, paying service charges is one among many other obligations under the lease agreement and the contract with the OMC. If you don’t pay then others will have to fund the negative cashflow but ultimately in the end your fees plus an interest rate will be deducted from the sale of the property.

When you go to sell your property you will require what they call a requisition from the OMC and you will not be able to sell your property until this is signed. They have the right to withhold this until all fees are discharged. This could add up to a lot of money if the interest rate was say 10%.

The fees that you pay go towards the running of your development and without a functioning and funded OMA the value of your property would devalue.

The agent managing the OMC fees are typically range from 2% to 8% depending on the complexity or scope of require services in the development under management and the size of the development.

Phil Thompson

Join 500+ happy house sellers who have greatly benefited from expert and experience-rich insider tips accumulated over 16 years in the residential property market by Phil Thompson, our Sales Director. Talk to Phil by filling form.

"*" indicates required fields

Name*
When do you wish to sell?*
Hidden
Hidden
Hidden
This field is for validation purposes and should be left unchanged.

By submitting this form you agree to our privacy and cookie policy

There is no obligation to engage our services once you receive your property consultation from Phil

Privacy Policy

Pagespeed Optimization by Lighthouse.

Tell us why you are here, so we can tailor the website to your needs.