New guidelines relating to commercial property service charges have now come into effect in a move designed to protect tenants from unscrupulous landlords and introducing greater transparency in the sector.
Buyers of apartments in new-build towers not only have to pay sky-high prices but also face soaring annual service charges that now average £2,777 a year, according to new research.
Some of the worst service charges are found in new apartment blocks lining the River Thames in London, where residents will have to pay nearly £7,000 a year on a two-bed flat.
The research, by Direct Line for Business, found that property service charges have jumped substantially, with a third of management companies increasing fees in the past two years.
The average service charge, or fees leaseholders pay to cover their share of the overall building maintenance, now stands at £1,863 for all properties in Britain and £2,777 for new-builds.
Opt in here