Management and Service Charges
This is the cost of the Management Charge service provided by Equity Housing Group. All homeowners are charged a fee to cover the costs of managing our schemes.
Further information can be found on our leaflet – management charge.
If you are a shared owner and pay rent, it will increase once a year as part of our rent increase process and as detailed within your lease agreement. The rent you pay is for the equity you do not own.
Details on your service charges and what you are paying for can be found within your lease. Service charges are reviewed annually, in consultation, with leaseholders and shared owners. This is to ensure the services provided by Equity Housing Group are to a high standard and are delivering value for money.
How do we calculate service charges?
Every year service charges are estimated for the following year, starting in April. At the end of the financial year, 31 March, the service charges are checked and audited. A copy of this audit will be sent out to all leaseholders and shared owners by 30 September, unless we advise you otherwise. Any underspend (surplus) or overspend (deficit) are carried forward to the following years’ service charge estimate as detailed in your lease agreement.
What is a sinking fund?
This is a contribution included within the annual service charge, which builds up funds for planned maintenance within the shared communal areas of your scheme/building (areas defined within your lease agreement). This ensures money is available for major items of expenditure and means service charges will not fluctuate dramatically from one year to the next.
Such items the Sinking Fund is use for are:
- Interior communal and exterior painting
- Boundary fencing and walls
- Paths and driveways
- Windows and communal doors
- Lift replacement
- Roof replacement
The sinking fund is reviewed annually and any changes are included within the service charge review and notification, which will be sent to you on or around February of each year.
Please find your service charge explained here