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Right to Manage: The hidden secret of the Uk property world.
Have you heard about Right to Manage (RTM)? If you live in a block of flats it’s something that you should be aware of because it can give you more power over your home and block and could potentially save you a lot of money.
Getting Started with Right to Manage
Although this does not need to be the case, owners often embark on Right to Manage when there are issues with the management of their building. If you are dissatisfied with the service you are receiving, it is likely that others are too. As such, you may be surprised by how easy it is to gather support once you suggest it!
Freehold Purchase vs Right to Manage
The first thing to say is that you do have options, and we hope that that gives you comfort. Before you read on, you may also be reassured to know that there is an affordable option available to you.
Our building management is poor- what are our options?
If you are suffering from, and frustrated by, poor building management you may well be looking for an affordable solution. You are probably aware that you can buy the freehold, but this can be very costly and time consuming. You can also speak to your freeholder and ask for an improved service, but that is easier said than done and may not achieve results. An alternative, which to date not everyone has heard of, is that of exercising your Right to Manage.
I am worried about falling out with my neighbours
Our fully automated system will take the stress out of the application process, making sure that everything is set up for you before you begin. It is an easy process and should not cause friction between owners. Once the RTM company has taken over, you may choose to manage the building yourselves (usually only recommended for smaller buildings) or you may employ a managing agent.
What concerns are my neighbours likely to have?
The Right to Manage is just that, a right. As such, there are only very limited circumstances where a freeholder can contest it and it is not a process that involves expensive lawyers or going to court. Most applications can very easily be completed using our automated system.
What can I expect from a Managing Agent?
First and foremost, you should expect professionalism and accountability. A managing agent should be achieving value for money for their clients, and acting in accordance with good standards of building management. They should also act upon the instructions of their client, whether that is the freeholder or an RTM company and they will be accountable to them.
Why should we embark on the Right to Manage process?
Every time you get your service charge bill you feel slightly annoyed and frustrated by it, as you really can’t see where the money is going. The building isn’t particularly clean and you’ve asked the freeholder three times to fix the front steps. After all, the freeholder is in charge . . .
Are you paying exorbitant commissions on your building insurance?
The FCA sees a common practice of commissions of 60% on your building insurance, being shared between your building manager and the broker. Some managing agents ‘may be driven by their own interests, including the associated levels of earnings’.
Beating a tripartite lease.
Not only is your managing agent poor, but they are also a signatory to your lease. If only you had known when you bought the flat how expensive and unresponsive they actually are. Whilst you may feel trapped and tied to them, a tripartite lease with a named managing agent does not mean that you are necessarily stuck with them forever.
When purchasing your freehold is going to take forever
You have saved up enough money to afford the premium to buy your freehold. However, just when you think you are getting your property finances back on track your solicitor and surveyor tell you that it will take months, if not years, to agree matters with the freeholder. That is just too long to wait.
mi-bot is here to help
A service charge too high? A building manager who doesn't care? We have a solution. mi-bot will tell you whether your flat and its building are eligible for Right to Manage without having to sign up for anything. It'll only take a second. Give it a try.
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