Although the industry is
unregulated managing agents still have to abide with relevant laws and
regulations and the good ones will be registered with the ombudsman service and
probably will be members of an industry trade body ARMA, ARHM, LKP etc.
So how do you know go about
either finding a new managing agent or ensuring that you are receiving not just
value for money but also getting the service you and your building deserve?
Below are some points that residents should ask of any prospective
or their current managing agent, our answers are found below the question in
italics:
Experience:
·
Are they registered with the ombudsman service?
Block Managers are registered with the
Ombudsman Service
·
Are they registered with the ICO
As we handle resident information we are
registered with the ICO
·
Are they a member of an industry trade body?
We are an accredited agent of the LKP who
have their own internal complaints procedure
·
How many years’
experience in the industry do they have?
We have worked in the block management
industry for 20 years
·
Are they managing any other developments like
yours?
We
currently are managing a variety of developments ranging from mixed tenure
developments to purpose built apartment blocks.
·
Have they been brought before the LVT?
We
have never been brought before the LVT and ensure that a thorough explanation
is given to residents on any service charge cost.
Managing Agents costs:
·
Do they charge a percentage or per unit fee?
Our
fee is based on what is more beneficial to the development and will either be
based on a percentage of the total service charge demanded or a per property
per year cost.
·
If a per unit fee, how much per unit per year?
Fees
are based purely on the size of the development and range form £100-£140 per
leasehold property.
·
Apart from the management fee will they make any
other additional charges for managing your development?
The only time any additional charge will be
made will be for extra postage monthly newsletter etc. or if residents decide
on a one off project outside of the normal service charge budget where a one
off payment will be made.
Hidden costs:
·
Do they earn commission for arranging buildings
insurance?
NO – this can only increase resident’s
service charge costs
·
Do they charge contractors any form of fee for
awarding them work?
NO – this can only increase resident’s
service charge costs
·
Do they have any association with contractors or
an insurance provider?
NO – this can only increase resident’s
service charge costs
·
Do they use client accounts?
No all managed development have
their own designated bank accounts and also currently enjoy 2 years free
banking.
·
Do they earn a fee from any energy supplier?
NO – this can only increase resident’s
service charge costs
Terms and Conditions/Regulations:
·
How long is the notice period should you wish to
terminate their services?
Our management agreement stipulates that we
are employed on a month to month basis
·
Will they charge either a takeover or handover
fee?
We do not charge wither a takeover or
handover fee
·
Do they abide by the RICS service charge code?
We
abide strictly with the RICS service charge code as well as all other known
industry regulations
·
What measures do they have in place for Health
& Safety?
All management
of Health & Safety is included within our management fee, we are both
competent and NEBOSH qualified to manage this on the resident’s behalf.
