The average service fee is UK £1863 per year

The average annual service charge (Service charge) for each residential property in the UK amounted to £1863, but for new construction it is sometimes two times higher. On average, for residential premises in new buildings the service charge is £2777.

In a study conducted by insurance company Direct Line for Business shows how the service fee has varied over the last few years.

The study also found that about 33% of management companies have increased the service charge to their tenants over the last two years. But the spread of rates from different management companies is very significant. For example, new apartments built in Croydon, which will go into operation in 2016, the service fee will be £1,55 per square foot, and for apartments built in Lambeth, a service fee will be in 4 – 4,5 times more expensive – £7 per square foot.

The average household expenditure on maintaining the premises, which is located on the Leasehold rights are equal to two months rent if rent premises in the lease.

Currently, increasing the level and quality of additional services that accrue to the owner of property in London and in other cities and that, accordingly, the landlord includes the service fee is a library, 24 hour Concierge service , a guarded Parking, gyms and cinemas. All these facilities greatly increase the service charge, but at the same time is a further incentive for investors, as housing with this set of amenities is in great demand among buyers.

The method of calculation of service fee is also different from different developers. Some have taken fixed rate with each apartment, while the other value is calculated depending on the number of rooms or per unit area.

Fee for service real estate in the UK (service charge) includes, among other things, repairs to the common areas, such as Windows, drainage system, roof, and hallways. Often Fund service fee funds are used to pay for the means of cleaning the common areas and landscaping of common areas.

®Alice Morgan. Up to 02.03.2016

Why Brits want to leave EU?

In the UK, reduced Stamp duty

Why buyers from Russia should not fear sanctions

More than 325 % over two years has earned our clients

Immigration to the UK

Price indices for UK property

Index index

IMPORTANT! A NOTIFICATION ABOUT THE SECOND CITIZENSHIP

LEAVE APPLICATION FOR SELECTION OF REAL ESTATE