As a result of an important Leasehold Valuation Tribunal decision that may impact on some leasehold conveyancing transactions in Newcastle, ‘Your Homes’ of YHN House, Benton Park Road, Newcastle upon Tyne, NE7 7LX, will have to review service charges at all one thousand four hundred leasehold properties it took over managing from Newcastle City Council.
The tribunal decided that ‘Your Homes’ Newcastle had been demanding too much money from some leaseholders. Even though Your Homes Newcastle took over management responsibilities of Newcastle’s Council’s housing portfolio in April 2004, it had only obtained copies of its leases some three and a half years later.
‘Your Home’s had until October 2007 used a service charge collection system which was not in compliance with the leases terms. To make matters worse, it was alleged that many lessees had been issued with threatening letters, even after service charge payments were made. The Leasehold Valuation Tribunal also concluded that much of the work, not of an acceptable standard, and thus decreased the amount due.
As specialists in leasehold conveyancing – Newcastle is not alone as an area where service charges are an issue. If you are selling or buying a leasehold property where ‘Your Homes’ Newcastle manage the building why not speak to our conveyancing team in Newcastle to see if the property in question has been overcharged service charges.