Service charges explained

Our financial year runs from 1 April to 31 March the following year.

Service charge estimate

Each February we send a letter to leaseholders and shared owners telling you the amount we estimate the service charges to cost for the coming financial year.

We call this your service charge estimate.

In October to December your estimated charges for the following year are prepared.

Year end statements

In April to July we work out the year end costs for the previous year.

Every year in September we send letters and statements to explain the year end service charges so you can compare them with the estimate from the previous year.

We call this your service charge year end statement.

Your account will be adjusted by the end of September to show your surplus or deficit.

Does everyone pay service charges?

All leaseholders in your block or estate pay service charges. You only pay for your apportionment of the cost of the block or estate. We will never ask you to pay for a neighbour's share of the costs of repairs or services. Tenants pay rent which includes payment for services and repairs.

More information about bills that make up year end costs

You have the right, within six months of receiving a written summary of costs, to require us to provide you with reasonable facilities to inspect the accounts, receipts and other documents supporting the summary we have provided. You can also ask us to provide copies or extracts of the accounts.

You can read a summary of rights and obligations for service charge estimates and year end statements.

Dispute a service charge

We make every effort to make sure our services meet the needs of our customers, sometimes we don't get it right.

If you feel we're charging you too much for a service, or we're not meeting the requirements in your lease, you can raise a service charge dispute with our Home Ownership Team.

Please use the following shared owner and leaseholder contact form to provide us with more information and upload any supporting documents if you need to.

If you have an ongoing issue that has not been resolved then you can make a complaint. If you need to make a complaint please visit our complaints page.

Pay your rent and/or service charge

If you have a shared ownership lease you are required to pay your rent and service charge by Direct Debit on the first of each month.

The easiest way to set up a Direct Debit is in My Account.

Difficulty paying your rent and/or service charge

We have trained colleagues who are here to support you if you're struggling to pay your rent or service charges.

We understand that money can be a little tight at times and this could be a for a number of reasons. We're here to listen, and reaching out to us is the best thing to do. If you don't keep up with your payments you could be at risk of losing your home - we don't want this to happen.

Please call us on 01634 565333 or use our shared owner and leaseholder contact form below to find out how we can help you.

Calculating shared ownership rent

If you're a shared owner, we will charge you rent on the part of the property that we own.

The amount you pay will be lower in cost than the equivalent market rent value you would be paying. It is a regular payment to us as your landlord for the use of the share of the property that we own.

The rent does not cover the cost of the provision of any services or repairs. You will pay a separate service charge to cover these costs.

Rent increases

Your lease shows that this rent will increase each year using a formula based on the Retail Price Index (RPI) in a specific month in the last two years.

We advise you check your lease for the exact details of the rent increase for your home. Before we increase your rent we'll always send you a letter to explain how much it'll be increasing and how we worked it out.

Ground rent

Ground rent is an annual fee you pay in exchange for using the ground on which your building stands. The fee is set out in your lease.

If you're a shared owner you will usually only need to start paying this once you have bought 100% of your home.

Sinking funds

A sinking fund is a way of saving towards expensive repairs and replacements such as roof and lift replacements, or communal painting and decorating. By contributing towards the sinking fund each year, you will bring down the cost of the payment you make when we need to carry out this work.

Can I claim back my sinking fund contribution when I sell?

No. The sinking fund stays with the property, so you're unable to receive a refund of the contributions you've made. A healthy sinking fund is an attractive selling point for potential buyers as they will know that there will be less to pay for major work in the future.