SERVICE CHARGE COMPARISON- MULTIPLE SCHEDULES
The figures below are based on a development of 150 properties where 3 lease schedules exist, some properties pay towards all 3 schedules some do not.
To see an example where there is just the one lease schedule - CLICK HERE
Our published fees for a development this size would be £100 + VAT or 12.5% + VAT of the total service charge.
For simplicity of this example all residents pay equally towards schedule 1 so we have assigned our management fee of £18,000 (£100 + VAT x 150 properties) solely to that schedule.
Instantly we could save £2940 from the service charge as our management remit includes items that other managing agents make an additional charge for Health & Safety etc.
From our experience we can determine that the costs for the insurance and accountants are on the high side and have revised those costs. For other costs further information would be needed so these would need to be reviewed, but needless to say any further reduction would also reduce service charge levels.
In this instance it is more beneficial for this development to base our management fee on £100 + VAT per property which with other savings will reduce the developments overall service charge by £17,940. In the instance of a resident who contributes to all three lease schedules they would save over £150 a year.
If you think your service charge costs are high and would like a free comparative quote email over, in the strictest of confidence details of your service charge budget to firstname.lastname@example.org.
6 Dorchester End
Essex CO2 8AR
Tel: (01206) 561674 email@example.com