EXCLUSIVE: Residents in shared ownership hit with eye-watering service charges
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3 ай бұрынThe shared ownership scheme was introduced to help people to get onto the housing ladder, but is "desperately failing" due to rising service charges.
Sky News analysis reveals a record number of legal complaints about people hit by rising leasehold service charges - in some cases going up as much as 300%.
Read more: news.sky.com/story/shared-own...
#uk #property #sharedownership
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@TomNook. 3 ай бұрын
Leasehold is a scam. Shared ownership is a scam.
@ulysees321 3 ай бұрын
so are new builds with estate charges which have even less legal protections
@ep1929 3 ай бұрын
Old leaseholds not too bad, I used to pay £20 per year ground rent. I bought the freehold now however. Some of these newish builds are a total rip off. New build houses tend to be advertised as freehold now - think the government banned new leasehold houses.
@b2224567 3 ай бұрын
UK is a scam mate
@ruthsmith2367 3 ай бұрын
I agree. We ended up buying our leasehold. We had to have our buildings insurance through them and I felt I was being ripped off. When I could look for myself I got the contents and buildings insurance for about the same amount as they were charging me for just the buildings insurance.
@markroyds23 3 ай бұрын
Myn is leasehold but it's an old house. There's 860 years left on the lease from 999....it has 50p a year ground rent and an absent freeholder.... It may aswell be freehold at this stage haha. New leasehold is disgusting. But the old ones are fine
@chrysalis4126 3 ай бұрын
A 138% increase should be illegal. It should be illegal to raise it higher than inflation.
@chrishart8548 3 ай бұрын
A lot of things should be illegal but they aren't. My rent has gone from £650 a month now it's £1400 a month. What else can I do im looking around but they have all gone up.
@IamLavinz 3 ай бұрын
@@chrishart8548 🥺 wow pure greed, sorry to hear that and to think I was complaining about my £100 increase.
@Beyonder1987 2 ай бұрын
@@chrishart8548your rent has gone up because the landlords interest has gone up. So he has to pay more to the lender and still needs to make a profit
@sirianofmorley 2 ай бұрын
No it shouldnt. There should be enough competition to reduce the prices. Having a monopoly is actually illegal for good reason.
@trappedinroom1014 2 ай бұрын
People need to check if it’s a legitimate management company….there is corruption running rampant with fake/fraudulent companies that are not properly registered. There’s more information on the Richard Vobe’s channel.
@exildur 3 ай бұрын
The entire UK housing system is an archaic and bureaucratic joke. It needs to be drastically reformed.
@stefanotattifrongia3612 2 ай бұрын
Absolutely. First thing leaseholder should just stop. Also the residents of an estate should be able to choose the provider of the service. We have a terrible housing association managing our beautiful estate, a gated community, and we cannot change them. If flats owners can choose the provider of the service, that will create an healthy competition and better services.
@ep1929 3 ай бұрын
Wouldn't touch one of these shared ownerships with a barge pole.
@TheDandelionMind 3 ай бұрын
I nearly did it years ago, but my instinct said something is not right with it. That was when people could just about afford a place though, I'm not surprised with house prices now people are being lured by it.
@doddsy799 2 ай бұрын
Same, Im a landlord with a few properties and I would never ever touch leashehold or shared, irrespective of how cheap the property was this hangs over like a dark cloud.
@ED-209UHD 2 ай бұрын
As Peter Kay would say “Who’s gota barge pole” 😂
@richardwillson101 2 ай бұрын
Why? I dont see an issue with shared ownership, its a very good thing that many people use to get on the property ladder. In fact, its about the ONLY start point onto the ladder these days.
@dorino9057 2 ай бұрын
@@richardwillson101 people can buy an affordable one or two bedroom apartment flat
@nutterhm 3 ай бұрын
Leasehold is a scam. Shared ownership is a bigger scam.
@normhanson981 3 ай бұрын
Really feel for her , the companies in this country just find any loophole to extract as much money as possible, why does it always happen in the uk.
@KallusGarnet 3 ай бұрын
Blame the royals
@stevenjones916 2 ай бұрын
@@KallusGarnet Yeah, because they introduce the laws don't they. 🤡
@MishMash-gn1fu 3 ай бұрын
😂 I very much doubt it was a mistake - it was a deliberate scam and it appears Peabody only replied when Sky News got involved - because they don't want their reputation tarnished, or other viewers or potential purchasers to know, what is really going on.
@icilmaa 3 ай бұрын
Yeah, they got caught out and the TV channel exposed their criminal act.
@VZweightlifting 2 ай бұрын
Peabody has no reputation, look at their reviews on Google and similar sources.
@vortexmdk6776 3 ай бұрын
I did a ‘Right to Manage’ and managed the building for everyone else, saved 80% in the first year. Wanted £13k for a new elevator… we didn’t have one! And £10k for a new car park, laid 3 years prior. Cleaners were doing nothing and invoicing thousands
@vladimirakopyan4088 2 ай бұрын
Surely billing for non-existant elevator is fraud>? Why is no-one in prison?
@robtheplod 3 ай бұрын
Thats her mistake - "the idea of shared ownership is to help people buy"..... its actually a way for developers to still sell overpriced houses - nothing to do with helping buyers...
@anthonyfaucy2761 3 ай бұрын
It's even worse than that. The rent skyrocket every year which is linked to inflation and the service charges are uncapped. Also the idea of 'staircasing' is laughable because everytime the tenant staircases the property has to be revalued meaning a risk the property increases way past affordability and the rent will be recalculated to reflect that. The whole Scheme needs to be scrapped with freeholds automatically being transferred at no cost. It's a legal scam essentially by the government themselves
@pinkflower1322 3 ай бұрын
Exactly
@seawavechau 3 ай бұрын
can't agree more. people gotta pay an 'IQ' tax on their mistakes
@Nonegiven14582 2 ай бұрын
Shared ownership pushes up prices and demand. And keeps builders in work. And keeps us building the properties we need. What is the alternative?
@jamesgibson8088 2 ай бұрын
@Nonegiven14582 developers accepting a lower profit margin and selling the houses at a price people can afford I imagine
@geoffhunt6646 3 ай бұрын
Peabody ( no longer a trust) are out of control. They have no idea what they are doing with service charges. Where is the expertise in that group.? Another post office scandle coming up😮
@guye94 3 ай бұрын
Service charges = disguised rent
@richardwillson101 2 ай бұрын
Not really. But "service charges" are usually a massive scam. Single source contracts with their mates and nobody who has ever dealt with property maintenance working as managers.
@rohanofelvenpower5566 2 ай бұрын
@@richardwillson101 how long of not paying the services charges until they take your house?!?!?!?!?!?!
@boring4606 3 ай бұрын
Even freeholders pay service charges where the council doesn't adopt the roads. This is on top of council tax. They sell it as a payment to keep the area looking good. Councils love it as they don't have to fund it and still collect our money.
@stevenrobinson5864 2 ай бұрын
And this is why no one should buy a property that come with these scam charges attached.
@DMGXXL 3 ай бұрын
Happy I did not fall for this scam
@lessonsfromscenes9533 3 ай бұрын
I had an aunt that told me never go for shared ownership
@TJay96 2 ай бұрын
It’s not really a scam, it’s just not a good long term option but it’s better than renting. The best thing is to do shared ownership for 5 years, sell it and then get a proper mortgage
@user-cs1dt2xw4c 2 ай бұрын
Don't touch shared ownership with a barge pole or fleece hold .
@antnam4406 3 ай бұрын
Shared ownership is not a dream! It’s a nightmare.
@markgidley7089 3 ай бұрын
The Conservative Party had an 80 seat majority in 2019 and a promise to fix the leasehold and the broken property market. Again they failed to deliver. Service Charges and how they are spent are a bigger issue than ground rents. Trading Standards need to be extended to monitor these and act as an initial escalation point for Leaseholders.
@PeacockRhino 3 ай бұрын
Ground rents are morally reprehensible though. It’s about certain developers abusing their market position and the fact there is a crisis to extract money for nothing.
@dietkebab 3 ай бұрын
I couldn't agree more. People get distracted with ground rent issues. Service charge is and always will be the core issue. I acknowledge ground rent is relevant, but it is secondary to service charge.
@user-gj7ew2sm5u 3 ай бұрын
Never buy leasehold property. That's my advise and its been the same for 40 years
@kombe971 3 ай бұрын
Okay but some people want to
@user-gj7ew2sm5u 3 ай бұрын
@@kombe971 that's OK if they like uncontrolled additional cost. I prefer not to.
@tariqphoto 2 ай бұрын
what out share of freehold?
@TJay96 2 ай бұрын
Even if it’s 999 year leasehold? Why not?
@staedlerok 2 ай бұрын
U have to if u live in London and don’t have 450.000 for a house
@ishouldbemoreanomymous4949 3 ай бұрын
Give with one hand. take from the other.
@mjstefansson7466 3 ай бұрын
NEVER EVER buy a leasehold property.
@sonyasever7625 3 ай бұрын
I never knew about it, wtf, why it exists?
@dadgamer6717 3 ай бұрын
management companies just make up charges. they should be regulated or clamped down on and local residents set up their own company.
@techgeek6142 3 ай бұрын
Management companies are controlled by the Freeholder who can remove/replace them. A group of freeholder can remove the management company !
@dadgamer6717 3 ай бұрын
@@techgeek6142 yeah we're trying. ultimately the management company is appointed by the freeholder and that's a different company. we own houses on an estate where the appointed management companies just make up charges. i say companies as they keep going bust and conveniently losing all the money and fake accounts and then starting a new one up the next door down...
@Superlativ1 3 ай бұрын
Shared conship, they should all stop paying service charges.
@anthonyfaucy2761 3 ай бұрын
If they do they will get evicted
@Superlativ1 3 ай бұрын
@@anthonyfaucy2761 depends most management companies are 3rd party companies so I doubt it is something they could do if all stopped paying together.
@sun2020able 3 ай бұрын
LEASE HOLDER IS A SCAM . all schemes from govt. are scams and passing responsibility on people but taking credit for the scheme.
@Solihul886 3 ай бұрын
Never expected shared ownership is not sunshine and rainbows, same with help to buy.
@stevenrobinson5864 2 ай бұрын
We saw a house, as soon as we saw it had service charge it was immediately discounted.
@IR._ 2 ай бұрын
It’s only an “error” from the landlord when national media gets involved
@mohammadsiddiqui3564 3 ай бұрын
There should be legal action taken against service charges. They can’t just do what ever they want.
@noname_cafe 3 ай бұрын
I also have Peabody they increase my service charge from 190 to 240 suddently from this April. I am in UB3 London and I sent two message asking Peabody but no reply, calling them and provide a invalid email for me to send for the request.
@sixx2476 3 ай бұрын
My service charge went up twice last year - its an absolute scam
@davedavids2231 3 ай бұрын
10 secounds in. Incorrect. All leaseholds pay service charge. Regardless of the ownership %
@leedsalex 3 ай бұрын
Incorrect, not all leaseholds pay service charges, a know a few people who own older homes which are classed as leasehold who dont get charged
@leedsalex 3 ай бұрын
@@NormanCollier-nf7nu incorrect, I know many people with leaseholds that don’t, especially in Sheffield, where they’re leasehold due to historical reasons where some duke owns a vast amount of the land but has no charge on it
@jimh4072 2 ай бұрын
I would never buy a place like this, it’s just a scam. I bought a leasehold house in Northern Ireland last year, nearly 8000 years left on the lease, the only charge is for ground rent at £5 a year which hasn’t been collected for years.
@snsn7251 3 ай бұрын
Just criminal
@mrmrmrcaf7801 3 ай бұрын
No...stupidity always pays.
@tejinderbahia6054 3 ай бұрын
Trading standards no longer take individual complaints. The CAB does that job for them but no one can get through to speak to them so the problem doesn't get resolved and these criminals can do whatever.......
@WisePaul1337 2 ай бұрын
I doubt anyone believes that increase was a mistake, like charging for CCTV which doesn't exist. Housing in the UK is broken, and no-one in power has any intention of fixing it.
@Natta44 2 ай бұрын
Why would tories fix something that doesn't benefit them? Social housing has no benefit to them because they can't make private money off it. We've let them privatise everything, meaning we as people have no power over our most essential needs to survive. They shafted us.
@maximoo9861 3 ай бұрын
The worst of both worlds by the looks of it,
@KingShaf7 2 ай бұрын
I have a 2 bed leasehold flat. The service charge went up from £1400 per year to £4500 this year. It’s absolutely criminal
@mocheung-sk2bi 2 ай бұрын
How horrible
@stevenrobinson5864 2 ай бұрын
Service charge = = double council tax bill but without a maximum amount it can be increased.
@Marios-br1hm 3 ай бұрын
Im so sorry for her😢 This leasehold etc schemes in this country is a massive scam Thankfully i have a great exit plan to Cyprus 🧡
@gailainsley6939 2 ай бұрын
I asked if I could eventually own my housing association home. I was told I could not (even though I was previously told that I could when I agreed to it). They instead offered me shared ownership options. I am certain that they just don’t want us to get ahead of own anything.
@Windy3s 3 ай бұрын
My service charge when up 50% it’s crazy
@ghsense2626 3 ай бұрын
Pay up
@dblackledge4393 2 ай бұрын
Ive had shared ownership for 14 years nearly. My rent has gone up at least £10 per month every year. This year it went up £50 per month. I own 25% of the building, but have to take the costs for everything about the building. If It needs a boiler then I have to pay the full amount. The same goes for everything like kitchens, doors etc. The same property across the road with the same company get new boilers, front doors, windows etc for no real cost difference. They rent 100%. Its downright thievery. Its £35 per month for paperwork charges. Where does that go? If I bought another 1/4 of the building the rent wouldnt go down in pro, and I would have to pay £500 just to get it appraised. Johnny Johnson is the housing agency.
@virumzzgaming 3 ай бұрын
Greedy
@Muhammads_pork_chops 3 ай бұрын
Service charges are illegal
@jimpaddy79 3 ай бұрын
The idea of shared ownership was to rip people off, not to give people a stake in their own home.
@thebeesnuts777 3 ай бұрын
I bet the leaseholders also own the maintenance companies
@nonfiction88 2 ай бұрын
Isn’t it illegal to charge for a non existent service?
@BasedLibertarianZ Ай бұрын
Fraud by false representation?
@tytzup5397 3 ай бұрын
Donr pay
@leedsalex 3 ай бұрын
and they'll take your home away
@RevealedFilms 3 ай бұрын
Shared Extortionship 😬
@michaelknight3270 3 ай бұрын
Set up to fail
@thelanehunterdevon1664 3 ай бұрын
Peabody. It may not be breaking the law. But thats still criminal.
@m9017t 3 ай бұрын
Leasehold and shared ownership are utter scams
@seawavechau 3 ай бұрын
The "surface" price of shared ownership may sound affordable to many, but service changes are not. Without sky-rocketing service charges, many "professionals" working in those shared ownership estates won't get an annual pay rise and would be out of jobs.
@Saturday6547 2 ай бұрын
Leasehold service charges, energy bills, train fare, fuel, council tax, groceries, interest rates, rent, mortgages have all increased to unaffordable levels.
@markroyds23 3 ай бұрын
Service charges have always been eye watering. I cam see in years to come this being as big a scandal as the post office scandal. It's ridiculous
@jsusvskbsv 3 ай бұрын
Why am I not surprised it's a new build?
@EVR-NOIR 2 ай бұрын
I knew this was a scam the moment it was announced- i could of done this last year but decided i didnt want to share anything so decided to stay with my parents to save more
@blazzz13 2 ай бұрын
Everything in Britain costs an eyewatering amount- by design.
@robertjones2053 2 ай бұрын
What about freehold new builds with estate service charges. We paid £500 up from £250 4 years ago. We then got an additional bill in February for another £125. Too much focus is on leasehold and not enough on freehold with a catch...
@pmichaelson Ай бұрын
What is worrying about this scam is that the police have not brought any criminal charges
@riteshthakker8883 3 ай бұрын
I live in help to buy studio flat and my service charges are £4 000 per annum
@SuperDuperCool23 2 ай бұрын
Are these the new affordable homes the government takes pride in building
@si8568 2 ай бұрын
Service charges are not monitored properly. All the maintenance companies are giving money under the table to the mansgement companies
@TomNook. 3 ай бұрын
The problem is that all affordable properties (under 200k) that are NOT leasehold or shared ownership are in remote areas in the North. And they're being bought out by the government for state dependents and new arrivals.
@thorkushari4027 3 ай бұрын
SERCO
@privateHandle731 2 ай бұрын
This is nothing to do with Shared Ownership... this is to do with Leaseholds... affecting all leaseholders whether they are shared owners or full owners.
@ranjha4008 3 ай бұрын
Never ever buy a house that is not freehold. And people need to stop buying these so called affordable housing and or any new builds that are also poorly built. Only then change willl happen
@VVlogsAbrigo 2 ай бұрын
Never thought of shared ownership or leasehold as there'a a lot of hidden problems that comes with it.
@wezist 2 ай бұрын
She got the concept of shared ownership completely wrong.....
@rickychurch3879 3 ай бұрын
Only one way to describe those who operate and over charge innocent people scambags!!! I hope she gets compensated for this! That’s the only right thing to do from this company. Also not responding to complaints and enquiry until sky news gets involved? Come on…
@3d1e00 2 ай бұрын
Had a cross lease where the other flat was owned and rented out by an agency. They tried to send me service charges for a long list of things that I had done myself. This isn't a faulty product it's corruption.
@TheBaldOne 2 ай бұрын
Now wheres that news article I read about an English teacher boasting about living in London with s 13k down payment on her mortgage, which was only 25% of her 500k flat? I wonder if she's looking at this...m
@lauraatkinson8920 Ай бұрын
Not everyone can afford a home definitely need more social housing
@anthonystuartjones 2 ай бұрын
Those houses look like Northstone properties, they're building some of those near me. I'll warn the buyers! A few flyers should do it.
@connormcleod9595 3 ай бұрын
Robbery
@muratdagdelen8163 2 ай бұрын
Abolish Service Charge
@seasonmists 2 ай бұрын
They always pretend it's a mistake when accountants get involved. Scrap leasehold!
@user-xu5vl5th9n 2 ай бұрын
For shared ownership and leasehold the buyer is the product: a potential revenue stream. Two toxic products combined into one.
@user-ht9ii2pr1x 2 ай бұрын
They only apologised because they got caught!
@michaelholt100 3 ай бұрын
I hought a shared ownership five years ago , 60% every year rent has gone up and service charges, so i have a mortgage and a £250 charge off the housing company onward homes
@TJay96 2 ай бұрын
How much have your service charges increased?
@michaelholt100 2 ай бұрын
@TJay96 im not sure but they have gone up every year along with rent
@alexs6770 2 ай бұрын
Shameful when people have to go to the press for help!
@BagofRust 2 ай бұрын
It was always a trap, leasehold has been around for along time. The Government Should Fine these Very Companies.
@mxgagat 2 ай бұрын
Are people really surprised ?! 😳
@tahliah6691 3 ай бұрын
Rip-off Britain
@MrCoolCats 2 ай бұрын
It is only a mistake, when they get found out.
@XORTION 2 ай бұрын
Also, if people can invest money into SO properties at a fixed %gain profit, and the SO has to keep trying to fulfil/cover the investors % then they will try every which way.. the housing is an absolutely complete mess
@Hold_My_Pocket 2 ай бұрын
Shared ownership isn't social housing.
@steve7535 2 ай бұрын
No such thing as a free lunch
@noumanchoudry3147 2 ай бұрын
All these properties which should have been on social housing, council housing list are put down as shared housing by politicians family and friends who own property development businesses.
@stefanotattifrongia3612 2 ай бұрын
In so many European countries, flats owners choose the company who manages maintenance. If the flats owner are no happy they can change. Here the housing associations can do whatever because they are never accountable. This is no free market, the housing associations are like a cartel.
@ddjf3337 2 ай бұрын
This was nothing to do with a mistake. They purely didn’t want any bad press once they heard sky News.
@MrCwalkerify1 Ай бұрын
But this is ultimately a leasehold issue tbh and not a shared ownership matter. Everyone’s with a leasehold is susceptible to questionable service charge increases it just happens to be more problematic for shared ownership owners as they typically don’t earn much.
@hbsong9964 3 ай бұрын
Knew it was a con years ago.....
@kanji_nakamoto 2 ай бұрын
Share ownership is a trap!
@harlsmusic 2 ай бұрын
something seems too good to be true, normally is
@cdub5033 2 ай бұрын
non-existent services in exchange for unjustified ever increasing Fee’s is a cruel, greedy piss take.
@tourbike 2 ай бұрын
Your rent portion is more than renting on its own. Property trap
@TJay96 2 ай бұрын
It’s really not. It half or less of the market rent
@myb23_dasd 3 ай бұрын
Whew chile
@markysgeeklab8783 13 күн бұрын
To me it looked like the idea of shared ownership is to make someone who rents responsible for paying for upkeep of the house, make them pay upfront, make them less likley to damage the house and unable to leave easily. NOT To make poor people able to feel like home owners.
@TysonBites 2 ай бұрын
Average british salary in 1950 £17190 (adjusted to todays money). Average house price in 1950 £82k. (Adjusted) Average house price today £285k Average salary today £35k
@greenerick 3 ай бұрын
Out of order, complete con and money grabbing
@sfactory8253 2 ай бұрын
Social housing is better. But not allowed to say so since Thatcher
@BillCarrIpswich 2 ай бұрын
Who could have seen this coming?? 😂
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