In addition to your monthly mortgage payments to your mortgage lender, you are responsible for paying ground rent and service charges either weekly or monthly in advance as detailed in your lease.
The ground rent due is outlined in your lease. It is based on the share that you do not hold in the property.
Ground rent and service charges explained
You normally pay service charges if you live in a flat or a house that has communal areas. Your lease will outline what services you’ll receive and what you’ll have to pay for.
The service charge you pay is your share of the costs of running, maintaining and improving your block and estate as well as any planned repairs/major works. This may be collected at the same time as your rent or separately. You only pay for works or services provided to your block or estate.
Service charges vary but may include:
- communal lighting/electricity/water
- communal repairs and maintenance
- cleaning communal areas
- maintenance contract e.g. door-entry systems, lifts, TV aerial etc
- gardening services or grounds maintenance
- buildings insurance
- contributions to the sinking fund for cyclical redecoration and/or major works
- management fees
- administration fees
- surveyors’ fees
- audit fees
For further details about service charge please refer to the leasehold handbook.
How to pay rent and service charges
There are a number of ways to pay your rent: Online via SeeMyData, direct debit, standing order, by phone, cheque or at a Post Office or PayPoint.