Leaseholder Handbook Providing high quality homes & services that put people first Version 3 Aug 2014
LEASEHOLDER HANDBOOK 2LEASEHOLDER HANDBOOK CONTENTS SECTION 1 ABOUT MHA Introduction Our Vision, Values and Objectives Housing & Communities Directorate How to contact MHA Customer Care Standards 3C s Policy: Compliments, Comments & Complaints SECTION 2 YOU AND YOUR LEASE What is a Lease? Your Lease Agreement Your Rights and Responsibilities Getting Legal Advice Our Responsibilities Right to Manage What happens if you break the terms of the lease SECTION 3 YOUR SERVICE CHARGES Why you have to pay service charges What Service Charges you are expected to pay Recharges Payment Methods Mandatory Loans Service Charge Costs Breakdown Money Wise Scheme SECTION 4 LIVING IN YOUR HOME Building Insurance Contents Insurance Neighbour Nuisance and Anti-Social Behaviour Noise Nuisance Estate Management 4 4-5 6-7 8 9 10-11 12 13 13 13 13-14 14 14-15 15 15 16 16 16 16 17 17 18-19 20 21 21 21 21 22 22
SECTION 5 MAINTENANCE AND REPAIRS Repairs Maintenance & Improvement Your Responsibilities Our Responsibilities Visiting You Door Entry Systems External Door Repairs Fire Safety & Fire Doors Repair Response Times Faulty Gas Appliances Gas Leaks SECTION 6 MAJOR WORKS Carrying Out Major Works Paying for Major Works Sinking fund SECTION 7 GETTING INVOLVED WITH MHA Leaseholder Forum Better Build Group Tenants Forum Annual Leaseholder Survey Estate Walkabouts FREQUENTLY ASKED QUESTIONS GLOSSARY OF TERMS 23 23 23 23 24 24 24 25 25 26 26 27 27 28 28 USEFUL CONTACT NUMBERS 39 Please contact the Corporate Services Team on 01495 761142 if you require this document in large print, braille, audio format or other languages. 29 29 29 29-30 30 30 31 38 3LEASEHOLDER HANDBOOK
4introduction Welcome to MHA On behalf of the Board and Staff of Monmouthshire Housing (MHA) I would like to welcome you to your Leaseholder Handbook. The book is very comprehensive but will not cover every eventuality so if in doubt please always contact us immediately and you will find our staff willing and able to help you resolve any issues you may have. Since our formation on 21st January 2008, MHA has made great strides forward and we have done so hand in hand with both tenants and leaseholders. We firmly believe that working closely with you is the best way to ensure that whilst being a leaseholder you will have all of the benefits of a high quality of life. You will find MHA receptive to your ideas and eager for your participation. Please enjoy the read and keep this handbook in a safe place so that you can refer to it easily. There will also be an electronic copy on our website, which will be updated as appropriate, should you ever mislay this one.
Your Leasehold & Home Ownership Officer My name is Hugh Thomas and I am the Leasehold and Home Ownership Officer for the Association. Whether you are a new or existing leaseholder, this guide provides essential information in relation to your home and an explanation of the services you can expect. I have been employed by the Association in this post since it was first set up in January 2008. I am here to help you, the leaseholder, with any queries you may have concerning your lease with MHA. This handbook explains your rights and responsibilities as a leaseholder and it also gives details of the Association s responsibilities and the services you can expect from us. The handbook is not an authoritative interpretation of the law, neither does it replace your lease it offers general guidance and information. Any disputes or disagreements will be settled with reference to the terms and conditions of your lease. Although it is not a substitute for legal advice, the booklet is designed to help you. The handbook has been designed for easy reference, with contact telephone numbers and addresses to assist you in most circumstances. It contains information about your lease and will help answer questions you may have about your home, your service charges and the different methods by which you can pay your service charges. I can be contacted directly during office hours on 01495 761121 or by email at hugh.thomas@monmouthshirehousing.co.uk. 5introduction
6ABOUT MHA our vision About Monmouthshire Housing Association Monmouthshire Housing Association (MHA) Ltd was established on 21st January 2008 to receive the housing stock of Monmouthshire County Council (MCC) through a large scale voluntary transfer. The Association is a new Industrial and Provident Society (IPS), managed by a voluntary board which is comprised of 4 Tenant members, 4 Council Nominees, 4 Independent members and an executive management team. MHA s main purpose is to provide and manage affordable homes in Monmouthshire for people who need them and to ensure all those homes are improved to meet the Welsh Housing Quality Standard by 2012 and then maintained at that standard. The Association manages and maintains around 3,600 homes and 290 leasehold properties, as well as large numbers of garages and other land around and within our estates. By 2017 MHA wants to be recognised as the highest performing social enterprise in Wales developing the best homes, communities, people and services in collaborations with our stakeholders. our mission STATEMENT To provide high quality homes and services that put people first.
open FAIR FLEXIBLE ACHIEVING landlord economic environmental ACHIEVING our values We will act honestly and with integrity and our decisions will be made inclusively and transparently. We are committed to delivering services with an even hand and ensuring equality of opportunity for everyone. We will be innovative and proactive and view change as opportunity. We will set and reach ambitious goals and targets. our objectives MHA will provide high quality, well designed, affordable accommodation which will achieve upper-quartile levels of tenant satisfaction for value for money and with overall services provided by MHA. In addition, by 2017 MHA will construct 130 units of affordable accommodation for sale and rent with Monmouthshire. MHA will remain financially viable and will increase total turnover through normal and diversified activities by 25% over next 5 years, increasing workforce to 250. MHA will provide environmentally-friendly, sustainable homes and services, reducing our CO2 emissions by a further 14% and recycle 50% of materials by 2017. MHA will prioritise investment in its staff and tenants achieving upper-quartile levels of performance against all key tenant and staff indicators. 7ABOUT MHA
8ABOUT MHA Housing & Communities Directorate Our Leasehold section is lead by the Director of Housing and Communities and managed by the Partnerships & Projects Manager. Community Services Manager Senior Lettings Officer Lettings Officers x3 PA to the Director Housing Support Manager Senior ASB Officer Director of Housing & Communities Partnerships & Projects Manager Admin Support Assistant ASB Officers x2 Neighbourhood Services Manager Leasehold & Homeownership Officer Partnerships & Projects Manager Policy & Projects Officer Project Worker
Section 1 CONTACTING MHA general Enquiries If you have a housing-related query regarding your home or lease and would like to report problems with anti-social behaviour or an estate management issue, please call the Head Office at Mamhilad on: 0845 677 2277 (local call rate) 01495 761100 (if you are calling us from a mobile)* Email You can also contact us via email: communityservices@ monmouthshirehousing.co.uk. We aim to respond to emails within 10 working days. Website You can also contact us and find out the latest news and information about Monmouthshire Housing and view our Leasehold Management Policy by visiting our website at: www.monmouthshirehousing.co.uk By Letter You can write to Monmouthshire Housing Association Head Office: Monmouthshire Housing Association Nant Y Pia House, Mamhilad Technology Park, Mamhilad, Monmouthshire, NP4 0JJ Reporting Repairs You should ring the freephone number 0800 980 7751 to report all day-today repairs and repairs enquiries This number will go directly to the Community Services Advice Team. The office opening times are: Monday to Thursday - 08:30 to 17:00 Friday - 08:30 to 16:30 When you ring this freephone number you will be put through to an available advisor who will take your repair details/enquiry. If all lines are busy during our peak hours, there will be an answer service for you to leave your name and contact number and we will call you back to take the repair. After 17:00pm Monday to Thursday and 16:30 Friday your call will be connected to an out of hours control centre who will take your emergency repairs only. If you have a repair that does not require an immediate response you will be asked to call back the following working day to report the repair. REPAIRS HOTLINE 0800 980 7751 9SECTION 1
SECTION 1 Section 1 Customer Care Standards In this section you will find our customer care standards Telephone Enquiries We answer the telephone within 6 rings We greet telephone callers in English and Welsh with name, for example: Good Morning, Bore Da, Monmouthshire Housing Association, speaking, how may I help you? We offer translation service if required. We keep voice mail messages up to date and include an alternative contact number. We answer any answer machine messages within 24 hours of staff member s return to office. 10
Section 1 SECTION 1 Responding to Letters We will acknowledge written correspondence within 5 working days. We provide a full response within 10 working days, or provide a progress report by this time if a full response is not possible. Home Visits If you cannot attend the office or do not wish to discuss a matter over the phone, a home visit can be arranged. When an appointment has been made, if we are late or need to cancel we will contact you to advise you of this or rearrange the visit. Our staff will always produce identification and advise you of the reason for the visit. We will follow up any visit with a response if necessary. Responding to E-Mails We will acknowledge emails from our customers within 3 working days We will give a full response within 10 working days and provide a progress report by this time if a full response is not possible Office Visits When you book an appointment you will be seen in a private room. We encourage all customers to arrange an appointment to avoid the relevant officer being unavailable. We will provide a hearing loop system. Our offices have disabled access. Braille and translations can be provided upon request. 711
SECTION 1 Section 1 The 3Cs: Compliments, Comments & Complaints MHA is committed to delivering customer focused services to all of its tenants and leaseholders and recognises the importance of providing a fair and objective complaints handling service and ensuring improvements are made by learning from complaints, compliments and comments. It is recognised that complaints are an inevitable part of any business and MHA welcomes complaints as they are valuable feedback from complainants which can improve service performance. Complaints: All staff are responsible for receiving complaints from customers, and managers will take responsibility for ensuring that all staff reporting to them are aware of policy and procedures. We deal with our complaints in stages which are as follows: Stage 1- Investigated by an investigating officer Stage 2- Investigated by a Director Stage 3- Independent Review of investigation and outcomes by a Complaints Panel made up of the CEO and 2 Board Members. Compliments: Help us identify where we are providing good services and also identify employees who have met or exceeded customer expectation Comments: We encourage our customers to offer suggestions on how we can improve our services. This allows them to make suggestions on improving services and if we do make changes as a result they will be awarded a cash prize. All compliments, comments and complaints must be forwarded through to the Corporate Services Team this can be done via: Email: Corporateservices@ monmouthshirehousing.co.uk Telephone: 0800 980 7751 Or in writing: Corporate Services Team, Monmouthshire Housing Association, Mamhilad Technology Park, Mamhilad, NP4 0JJ 12
What is a lease? If you buy the lease of a property, you are then known as the leaseholder of the property (sometimes known as a lessee or a tenant). The owner of the freehold of the property is called a freeholder (sometimes known as a lessor or landlord). A lease governs the relationship between the landlord and leaseholder, as it is a legal agreement that outlines the rights and responsibilities that the leaseholder and landlord have in respect of a property. The Lease is enforceable in law- all parties who sign the lease have an equal responsibility for making sure that they meet the conditions of the lease. As a general principle, the lease should be regarded as the main determining factor in relation to the way a property is managed and maintained. Your Lease Agreement The lease will be for a period of 125 years during which time the Association remains the Landlord. If the lease was assigned to you by another leaseholder the term of the lease will be less than the original 125 years. Section 2 As a leaseholder you only buy the right to live in your own flat and you will have to pay a share of the costs of the upkeep and repair of the building and the estate where your flat is situated. It is important that you understand your lease and the conditions in it. Breaking these conditions could have serious consequences; sections in your lease are called clauses and schedules, and each one details conditions or responsibilities you have as the leaseholder and those of the freeholder. Your rights and responsibilities As a leaseholder you have the following rights and responsibilities under the terms of your lease. You must pay your ground rent and service charges on time. You must pay all other charges relating to the property, for example council tax, gas, electricity and water bills and so on. You have the legal right to be consulted before any major works or long term agreements are carried out to your property. You must keep the part of the property that you are responsible for in good condition and carry out any work that you are responsible for within three months of us telling you that the work is needed. When the lease ends, you must leave the property in good condition. YOU AND YOUR LEASE 713
YOU AND YOUR LEASE Section 2 You can only use the property as a private home and you must not carry out any business at the property without our written permission. Depending on your lease, you may rent your property out with our permission. You can sell your lease to anyone you want, however certain conditions may apply. You must not make any alterations to the property without getting our written permission. This includes replacing the central-heating system, kitchen or bathroom fittings, your windows and front door. There may be a small charge for this. You must allow us to enter your property when we give reasonable notice to carry out any repairs to your property or adjoining premises. You must not do anything to cause a nuisance to us or your neighbours. Getting Legal Advice As previously mentioned in Section 1, the advice in this handbook is for guidance only. You should obtain independent legal advice and in no instance will the contents of this handbook override the terms of any existing lease, or any other legal agreements which you may have entered into. This handbook cannot cover every situation because individual leases can differ. If this handbook does not answer your question you can: Refer to your own lease agreement and other documents related to your home purchase Contact your own legal advisor Contact our Leasehold and Home Ownership Officer on 01495 761121 Our Responsibilities As the freeholder (landlord), MHA has the following responsibilities: Calculate your service charges in line with the conditions of your lease; Maintain the structure of the block and the estate your property is on (if it is on an estate); In some, but not all cases, maintain and repair the structure and outside of the building. This includes communal areas such as corridors and stairs; Maintain all equipment associated with services supplied to the block and estate, such as lifts, inside and outside lighting and playground equipment; Maintain all shared grass and planted areas (but not private gardens) and any estate roads and parking areas; 14 Insure your property for its full reinstatement value (we include the cost of the buildings insurance in your service charges); and
Take action or help you take action against a neighbour who may be causing a nuisance. N.B. robust evidence needs to be gathered in such cases. Right to Manage Leaseholders have the right to manage their own block of flats (otherwise known as collective enfranchisement). This is a major reform brought about by the Commonhold and Leasehold Reform Act 2002. If a majority of leaseholders of flats within a block agree that they wish to manage their own block independently of MHA they will be required to form a Right to Manage Company limited by guarantee and will have to comply with company law in respect of filing returns, liability of directors and other matters. Notice would have to be served on the Association as landlord. There are websites of firms which can provide assistance in setting up such companies. Section 2 What happens if you break the terms of the lease? If we think that you have broken any of the conditions of the lease, we will write to you to tell you about this and what you should do about it. If you do not do what we suggest, or you fail to tell us why you do not think you have broken the conditions of the lease, we may take the case to court or to a tribunal. YOU AND YOUR LEASE 715
YOUR SERVICE CHARGES 16 Section 3 Why you have to pay service charges As a landlord we have a legal duty to provide works and services to you as a leaseholder. The service charge is collected by landlords to recover the costs incurred in providing these services to you and maintaining the dwelling. Under the terms of the lease you are required to share the costs with the landlord and other leaseholders. We send your service charge bill out annually and the costs are based on the services we provided in the last financial year. What service charges are you expected to pay Ground rent - All leaseholders are required to pay a Ground Rent of 10 per year. This is a charge that is fixed for the whole period of your lease. It is set at the time that the flat was originally sold. The ground rent is payable because MHA owns the land on which your proprty is situated. Insurance - MHA will arrange building insurance for your block of flats. This annual premium will be apportioned and recharged to you. Repairs and Maintenance - This charge is variable and is calculated according to the costs of repairs carried out to the building. The costs are shared equally between leaseholders in the building. Management Fee - This charge is to cover any costs relating to managing the leasehold service. This charge would cover costs such as arranging insurance, calculating service charges, consultation over major works, administering payments, raising invoices, managing your block and office costs. This charge is divided equally between all leaseholders. Major Works - You will be consulted on any larger items of work costing 250 or more. Major works could include window replacements or security door installation. Grounds Maintenance - This covers the annual maintenance of communal gardens or grassed areas. Other costs - These costs could include window cleaning, communal lighting, and communal heating, cleaning charges, and costs of maintaining lifts or security charges. These charges are only charged where appropriate. Recharges Charges may be made due to wilful damage of common parts or where it can be proved that drains have been blocked or where appointments have been made but not honoured. A small charge will also be made for replacement or extra key fobs.
Payment Methods: How to pay your service charges Your service charge can be paid in full or you can request to pay by monthly instalments. It is expected, however, that the annual charge will be paid in full within the year (i.e. by the 31st March). With major works and improvements, extended payment terms can be arranged depending on your financial circumstances. These will be outlined to you during the consultation period. When paying your service charge, there are various payment options available to you. The methods we offer are: Direct Debit Standing Order Internet Banking Payments by debit/ credit card over the telephone Cheque payable to MHA Please remember to tell us your account number when making a payment. If you do not pay your service charges, we are entitled to add interest on any amount you owe us. You must pay any interest, at the rate it says in the conditions of your lease. Section 3 Mandatory Loans MHA will not pay your repair bills for you but Government legislation (Housing Service Charge Loans Regulations 1992) means that, under certain conditions, MHA must offer a Leaseholder a loan in order to repay a large repair bill. This loan is mandatory (i.e. the Association must provide it). The Mandatory Loan conditions are: The bill for your share of the repairs must exceed 1,500 (so you must find the first 1,500 yourself) The bill for the repairs must arise within the first 10 years from the date of purchase of the lease. There is no help for demands made after the first 10 years of the lease. The minimum amount loaned is 500. The maximum amount loaned is 20,000. The loan has to be secured on the flat by way of a mortgage. Interest on the loan will be charged at a rate of interest determined under the Housing Act 1985. You will have between 3 and 10 years to repay the loan depending on the amount of the loan. An administration fee of up to 100 may be charged. YOUR SERVICE CHARGES 17
YOUR SERVICE CHARGES Section 3 Service Charge Costs Breakdown 18 You are responsible for your share of the costs incurred by MHA in providing services to you. These are due under the terms of your lease. Your annual service charge bill will look something like this: Ground Rent - As Leasehold is a form of tenancy, a nominal rent must be paid. This is a sum which is fixed for the whole period of your lease and is usually 10 per annum. It is payable because the Association owns the ground the property is built on. It is the only element of your service charges payable in advance. Insurance - The association must arrange building insurance for your block of flats, covering its full reinstatement value. This is the annual premium payable by you in respect for your flat. Management fee - This charge is made to recover our costs in managing the administrative side of the leasehold service. This charge would cover costs such as arranging insurance, calculating the charges, consultation, answering queries, administering payments and office costs. The management charge is apportioned equally between all leaseholders. Account Number To be quoted on all payments DCSM001 for the financial year 2011/12 (or as apportioned) Ground rent Insurance Management fee Grass Cutting Repairs (itemised below) Planned maintenance e.g. external decoration (as notified in Section 20 notices) Total Repairs Refix dislodged roof tile (25/8/2011 Communal light repair (23/12/2011) Repairs total
Grass Cutting This may also be referred to as grounds maintenance it covers the annual maintenance of communal gardens or grassed areas. EXAMPLE 10.00 9.99 75.84 0.00 2.19 496.93 594.95 5.96 1.67 7.63 Section 3 Repairs - Sometimes referred to as snag repairs or non-itemised repairs, this is a variable charge that is calculated according to the actual cost of repairs carried out to your block of flats. You are charged these repair costs in accordance with the terms of your lease and the number of flats in your block. Individual charges which do not exceed 250 do not require prior consultation with you. The need for the repair may have been noted during a routine inspection or reported by you or another resident of your block. Planned Maintenance (as notified by section 20) - Otherwise referred to as major works, these are costs which generate a charge of 250 or more. The Association must engage you in a consultation process as required by Section 20 of the Landlord and Tenant Act 1985. Major works could include roof repairs, window replacements or security door installation. This part of the service charge letter will give you a break down of any repairs carried out in the block with a brief description of the repair, the date the work was carried out and the cost apportioned (i.e. total cost divided by number of flats in block). YOUR SERVICE CHARGES 19
YOUR SERVICE CHARGES Section 3 Money Wise Scheme The Money Wise scheme was set up by MHA to provide help and advice on money issues such as: Help finding the best gas & electricity deals Help with applying for affordable credit Help with opening savings, and different types of, bank accounts Help with claiming benefits Help with debt problems Help with budgeting Help getting you home and contents insurance Help with changing to a water meter 20 If you live in Caldicot or Chepstow areas, call Matt on: 07792 596915 or email him on matthew. taylor@monmouthshirehousing.co.uk If you live in Abergavenny, Monmouth, Raglan and Usk areas, call Sarah on: 07725 824800 or email her on sarah.jones@monmouthshirehousing.co.uk
Building Insurance MHA insures the building as a whole against the usual risks and a proportion of the annual premium is recharged to the Leaseholder. This sum is included in the annual service charge bill. The Association s insurance only covers the structure of the flat and does not cover the contents belonging to the Leaseholder. Contents Insurance The building insurance only covers things which might happen to the building. You are responsible for arranging your own contents insurance for anything that might be your responsibility, such as if you cause water damage in another property because your bath overflows, or your washing machine breaks down. Neighbour Nuisance and Anti-Social Behaviour (ASB) Under the terms of your lease, you are responsible for making sure that you, the people living in your home, visitors and your pets do not cause: A nuisance to your neighbours, or Any kind of harassment that interferes with their peace and comfort. ASB is any type of aggressive, intimidating or destructive behaviour that damages another person s quality of life. Noise is a major cause of complaints and you need to be acutely aware of the effect that this can have on others. You can report anti-social behaviour to us in the following ways: By calling the following telephone numbers*: 0845 980 7751 or 01495 761 100 Section 4 By submitting a report through our website: www.monmouthshirehousing.co.uk By reporting directly to a member of staff in person or over the telephone. We have developed Service Standards for dealing with reports of ASB and details of these are available on our website and in leaflet form. In order to address ASB, we work in partnership with the Police and the Monmouthshire Community Safety Partnership. We take a variety of measures to deal with ASB, from informal early interventions to formal legal procedures. * Calls to our 0800 or 0845 numbers may cost you more than the 01495 numbers if you are calling from a mobile phone. LIVING IN YOUR HOME 21
MAINTENANCE & REPAIRS Section 4 Noise Nuisance Noise is the most common cause of conflict between neighbours. Under your lease, you must not play, or allow to be played, any sound making equipment (e.g. TV, radio, musical instrument) to cause nuisance or which annoys your neighbours. If you have problems with your neighbour you can always contact us for advice. But sometimes you can make the situation worse by involving us too early, especially if your neighbour is unaware that they are causing you problems. We will encourage you to resolve your differences yourselves if we feel this is appropriate. Try not to wait until the problem is so bad that you are very angry or upset. Your neighbour may not realise the nuisance they are causing. You could explain to your neighbour how their actions are causing you problems. We may suggest mediation to resolve a dispute with your neighbour where appropriate. Mediation is a negotiation process used to resolve differences and is conducted by an impartial third party. However, talking or mediation is not an option if you think that your neighbour is deliberately harassing you or if they are violent towards you. You should contact us immediately in these instances. Estate Management The Neighbourhood Team provides core housing management functions in our communities. The team manage tenancy changes and ensure that tenants comply with the conditions of their tenancy agreement (for example, through addressing rent arrears and anti-social behaviour). The team also work closely to maintain and improve the physical appearance of our neighbourhoods by undertaking periodic estate walkabouts and property inspections. Their role is to also promote and facilitate community development, tenant participation and financial inclusion. For more information on estate walkabouts please see page 30. 22
Repairs Maintenance and Improvements This section gives a guide to our duties to arrange repairs to your home and your duties as a leaseholder. When we carry out works as detailed below, a proportion of the costs will be recharged to each Leaseholder in the building. Your Responsibilities Your repairing responsibilities mainly concern the inside of your flat and include: Fittings such as kitchen units and sinks Floorboards Internal non-structural walls Plaster or other surface material on interior walls and ceilings Internal doors and door frames Toilets, baths and showers Radiators, cisterns, tanks, boilers and pipes used exclusively within the flat Gas, water and electricity installations exclusive to the flat Fixture, fittings and internal decorations Responsibility for any leaks or burst pipes, including damage caused to other Association property as a consequence Section 5 Our Responsibilities We are responsible for arranging or organising the repair and maintenance of the structure, exterior and shared parts of your block of flats. You will be charged your share of the cost of these repairs within your annual service charge bill as per your lease agreement with us. This may include: Exterior walls Roof Foundations Timbers and joists Beams Chimney stacks Rainwater and soil pipes Sewers and drains serving the building Gas, water and electricity pipes up to the flat Communal hot water systems Exterior decoration Internal common way decorations Communal windows and doors Communal electric Communal lifts Communal grounds and parking areas Smoke alarms Repairs to door entry systems Maintaining communal/external lighting MAINTENANCE & REPAIRS 23
MAINTENANCE & REPAIRS Section 5 Visiting You When an MHA contractor or building inspector visits the property to undertake or inspect a repair, a responsible adult must be present. If you are not at home, or the only person at home is under 16 years of age, the tradesman or building inspector will not be able to carry out the work. You will then need to report the repair again if you still want it done. If you need to change or cancel the appointment, please let us know at least 24 hours beforehand. All of our employees carry official identity cards that include their photograph. Always check a caller s identify card before you let them into your home. Door Entry Systems Door entry systems are regularly maintained by the Association. However, if there is a problem or the system needs to be repaired, please contact us. External Door Repairs We are normally responsible for repairing the door frames of a leaseholder property. The leaseholder is responsible for the door itself. Remember! - If you are in doubt, shut them out! 24
Fire Safety and Fire Doors The Regulatory Reform (Fire Safety) Order 2005 introduced duties in relation to fire safety in the common areas of houses in multiple occupations. This duty is placed on MHA as landlord requiring us to carry out a fire risk assessment and take specific action to minimize the risk of fire in the communal parts. All communal areas, including hallways, stairwells, landings and corridors must be cleared of all objects. Such objects may cause an obstruction to you and others whilst trying to escape from a fire and, in some cases, may also be a source of ignition. External doors giving access to communal areas are the leaseholder s responsibility and must comply with the above Fire Safety Order (currently FD30S of BS476 standard). The door must provide a minumum of 30 minutes fire resistance to the communal stairwell and restore 30 minutes fire resistance protection to the escape route. Any glazing within the door must also be of 30 minutes fire resistance standard and correctly fitted by an approved installer. Section 5 You can report a repair by telephone, via our website or through E-mail, please see section 1 for our contact details. Repair Response Times Our aim is to provide an efficient, prompt and cost effective responsive repairs service (which is easily understood). When you report a repair to us the work will be given a priority before it is passed to the tradesman,. This indicates a maximum time allowed for the job to be completed. Our repair priority categories are: Emergency - Respond to within 2 hours and complete the same day. Urgent - Respond and complete in 24 hours. Non-Urgent - Complete within 5 days. Repair Inspection - A maintenance officer may call to assess what works needs doing before an order is given to the tradesman. If a repair is necessary as a result of a crime or vandalism. It must be reported to the Police and a crime incident number obtained. Reporting crime and anti social behaviour to the police (see Useful Contacts ) will help reduce the likelihood of further service charges relating to such damage as we will not recharge you if the repair/ replacement is due to vandalism which has been reported to the Police. MAINTENANCE & REPAIRS 25
MAINTENANCE & REPAIRS Section 5 Faulty Gas Appliances Gas Leaks By law, as a landlord or as a leaseholder, you are responsible for making sure that gas fires and boilers are kept in good order and checked for safety at least every 12 months. Anyone who is carrying out work on a gas appliance will need a Gas Safe registration card. This is to prove your gas engineer is competent and qualified. Unless they are registered with the Gas Safe Register, they are not legally allowed to do any work. If any problems are found, you must arrange for them to be put right immediately. If you smell gas take the following action immediately: Put out any cigarettes or naked flames Open all windows and doors Turn off the gas at the meter Do not use any electrical switches Do not use a phone inside the property Contact Transco on 08455 191523 and your gas supplier 26
Section 6 MAJOR WORKS Carrying Out Major Works Under the terms of the lease, MHA is responsible for the maintenance of the building and estate where your leasehold property is situated. This maintenance can be small-scale repairs, such as renewing a roof tile or replacing a communal front door. It can also include larger repairs and improvements, such as a new roof or windows. Such large-scale repairs and improvements are known as major works. A proportion of the cost of large-scale works is rechargeable to you as a service charge under the terms of the lease. As the costs associated with major works can be significant, the law requires us to carry out formal consultation with leaseholders in particular circumstances. If the cost to you and other leaseholders is likely to be less than 250, we do not have to go through the legal consultation process with you. Information on the planned major works for this year, can be found on the leaseholder section of our website. Section 20 Consultation Process Information on the Section 20 Consultation Process and examples of the notices we use are available on the leaseholder section of our website. For works costing 250 or more, you will be consulted as an individual leaseholder, in writing, of the work which is required and why this needs to be carried out. We will also provide you with an estimate of how much the works will cost you as an individual. This letter is called a Section 20 Notice (after section 20 of the Landlord & Tenant Act 1985). You will then have 30 days in which to give any written comments and the letter will tell you where your comments should be sent. If you require more information about the work, contact details will be provided in the letter. Emergency or urgent work, for example where a roof or chimney collapses, may have to be carried out without any consultation. However, you will still be liable for your share of the costs of the works. We value the input of tenants and leaseholders to major works projects. During the major works process, and before the issue of statutory notices, there are opportunities for residents to comment on the proposed work. This can have a major impact on the work that is carried out. We know that leaseholders have additional concerns because they will have to make a direct contribution towards the cost of works if we decide to proceed after the consultation process. MHA therefore encourages the full involvement of leaseholders in all stages of the consultation processes. If you have any queries about this you can contact us using any of the methods outlined in Section 1. 27
MAJOR WORKS Section 6 Paying for Major Works We recognise that some of our leaseholders find difficulty paying for major works. However, for the benefit of all residents, we have to consider the maintenance of our buildings. When buildings are allowed to deteriorate, putting things right costs more than regular maintenance, to the disadvantage of both leaseholders and the Association. If we do not undertake major works when they are needed, we are failing in our duty to you. You will not be required to pay your share of the cost of major works until they have been completed and accepted by us as being of an acceptable standard. It is your responsibility to finance service charge payments. We are unable to waive charges, which are lawfully due. If you do not make payments it could lead to legal action, which may put your home at risk. Sinking Funds Sinking funds (or reserve funds ) enable landlords to spread the cost of major works so that leaseholders do not face sudden large bills. It is a fund that a landlord aims to build up over time by contributions from leaseholders to pay for repair and replacement of major items that fall within the landlord s responsibility. Sinking fund contributions are accounted for separately and reported to leaseholders annually and managed according to current legislation and regulation. Monmouthshire Housing Association does not currently operate a sinking fund for its Leaseholders, however if this is a service you would be interested in please contact our Leasehold and Home Ownership Officer. Sinking Funds 28
Leaseholder Forum Since MHA was first set up in January 2008, there has been an initiative to forge closer relationships with our leaseholders. Initially, this took the form of holding leaseholder forums at centres throughout the county twice a year the forum continues to be held regularly as a means by which information, particularly relating to planned maintenance issues, can be given to leaseholders and also where leaseholders issues can be raised and acted upon. We would like to see leaseholders taking a more active role in forums; this could be by contributing to the agenda of the meetings and choosing the topics they would like to hear about. You can do this by returning the slip sent to you prior to meetings being held. You could also become involved in the organisation of the meeting, or by taking the lead and speaking at meetings. Leaseholder forum minutes are available on the leaseholder section of our website. If you would like to become involved or have any other suggestions on how leaseholders can take a more active role in the forum, please contact our Leasehold and Home Ownership Officer on 01495 761 121. Rob Carey Tenant & Resident Involvement Co-ordinator Section 7 Better Build Group The Better Build Group is a working group that meets periodically with a primary role of helping the Property Services Department shape the Planned Maintenance Programme. It also monitors MHA s progress with achieving Welsh Housing Quality Standard and Property Services uses the Better Build Group to develop recommendations about maintenance programmes and maintenance issues If you would like to attend a Better Build group meeting please contact our Tenant & Resident Involvement Co-ordinator on 01495 761 115.. Tenants Forum The Tenants Forum is a tenant and staff partnership group held bimonthly that oversees all tenant involvement activity and development. It provides overall guidance for tenant involvement spending and monitors the involvement budget. It also helps develop the Tenant Involvement Strategy and monitors its progress against the objectives set in its action plan. The Steering Committee of the Forum identifies priorities for the Forum meetings and highlights areas of interest or innovation for involvement activities. The Steering Committee also helps ensure that involvement structures are adequately supported by MHA and are meaningful. GETTING INVOLVED 29
GETTING INVOLVED Section 7 30 It makes recommendations about tenant involvement activity and comments on policy or service delivery. Forum meetings provide the opportunity for attendees to be sounding boards for ideas as well as provide information and news to inform tenants about MHA s activities. Forum meetings are also a learning opportunity for tenants as we often invite external partners to talk about their services and ideas for the Forum. The Forum provides a welcoming relaxed environment for tenants to become involved with MHA and always finishes with buffet lunch. If you need help with transport or child/adult care to attend the Forum. We would welcome leaseholders to the Tenants Forum and if you would like to find out when and where the next meeting is being held and what s on the agenda please contact Rob Carey your Tenant & Resident Involvement Co-ordinator on 01495 761115. Annual Leaseholder Survey To gain feedback from our leaseholders, we undertake an annual survey to gauge satisfaction levels. The results from these surveys will be published on our website and disseminated at Leaseholder Forum Meetings. Estate Walkabouts You can also become involved in the management of your estate by going along to your Local Estate Walkabout. The Estate Walkabouts consists of a group of interested parties including MHA, local councillors, Gwent Police and Communities First and tenants and residents. We set a route that we will take and follow, looking at any issues that have been identified previously or raised during the walkabout. We knock on doors in an effort to engage with residents in the area and deal with any issues that are raised. It is agreed who will carry out each of the tasks and then feedback is given to the person (if any) who raises the issue. We try to hold walkabouts in certain areas twice a year. Depending on outcomes they can then be rotated and a walkabout carried out in other areas. If you are interested in attending look out for our flyer which we send via post. Our posters are up in local shops, notice boards, communal areas of flats and at Communities First. We also work with the local County Councillor to advertise these. We advertise the walkabouts on our website and on Twitter @MonHousing.
Who will carry out repairs to my flat? The Leaseholder is responsible for keeping the interior of the flat in a good state of repair. This also covers fixtures and fittings such as the bath, basin, toilet, sink, cupboards, fireplace, water heaters, fires etc. and includes all tanks, pipes, wires, cables, drains, ducts and other service installations provided for the flat. The Leaseholder will also be required to paint and decorate the interior of the flat at regular intervals throughout the term of the lease. Will I have liability for the building s communal areas? Yes. The Association is responsible for the maintenance and repair of communal areas such as entrance halls, stairways and landings. The Leaseholder will then be recharged these costs based on the number of units in the block. Service charges are invoiced in arrears. Only the 10 Ground Rent is payable in advance. The annual service charge period goes from 1st April to 31st March. Frequently Asked Questions Will I have liability for communal parts of the estate? Yes. Although the Association is responsible for the maintenance of communal areas on the estate, such as grass cutting, each leaseholder will be recharged a proportion of the cost. Further Information Information on the blocks of flats potentially affected by works to communal parts of the building or the estate, for this year, can be found on the leaseholder section of our website. Does the service charge bill include any other items? Yes, it will also include normal maintenance such as minor repairs, grass cutting and repainting to the exterior of the building. It may also include necessary repairs or replacement of larger items such as windows/doors or the roof and any other improvements. You will also have to make an annual contribution for buildings insurance, management costs etc. FREQUENTLY ASKED QUESTIONS 31
FREQUENTLY ASKED QUESTIONS Frequently Asked Questions Are there any other works carried out by MHA which are recharged to the Leaseholder? Yes, there may be structural defects in the building and the Landlord is responsible for putting these right. The cost of this work may also be recharged to the Leaseholder. If any repairs or improvements arise within the first 5 years of the lease (i.e. 6 months from the date of the Offer Notice), the Leaseholder can only be recharged in line with the estimate given in the Offer Notice when they exercised their Right to Buy. How much will my annual service charge be? Your annual service charge will vary from year to year depending on whether any major repairs have been carried out. The service charge is really three charges in one and is made up of charges for Services, Repairs and Improvements. 1. Services: Include ground rent, grounds maintenance, grass cutting, buildings insurance, cable, TV and management costs. 2. Repairs: Are divided into two categories - itemised repairs and non-itemised repairs:- Non-itemised repairs include regular day to day maintenance requirements. Itemised repairs include jobs which may only need doing very infrequently, for example: repairs to the roof & replacing the windows. 3. Improvements - include any items of major improvement scheduled for the block that your home is situated in, for example: installation of a door entry system. How do I know how much my service charges are likely to be? When a tenant exercises their Right to Buy, the Association issues a Section 125 Notice which provides the prospective purchaser with the following information: 32
1. A statement of the terms of the proposed lease; 2. A description of services for which charges will be made and an estimate of the cost; 3. Details of any known structural defects; 4. Details of any itemised repairs and the cost (scheduled within the first 5 years); 5. An estimate for non-itemised repairs; 6. Details of any improvements and the cost (scheduled within the first 5 years). The Section 125 Notice gives details of the service charges for the first 5 years only (this is called the Reference Period). Note: Leases that were entered into before January 1987 - the reference period was 10 years and related only to structural defects. If you purchased your flat from another leaseholder it is important to know when the flat was originally sold by Monmouthshire County Council or by Monmouthshire Housing Association. This will show you whether or not your lease is still within the Reference Period. Frequently Asked Questions Will I be given notice of any repairs, renewals, etc. that the Association are going to carry out? Yes, only minor repairs can be carried out by the Association without prior notice. Before major works can be carried out, the Association is then required by law to serve notice on the Leaseholder giving:- details of the proposed works, details of the estimates obtained, notice that the Leaseholder has 30 days to make written observations on the proposed works or estimates. This is called a Section 20 Notice Unless the work is urgently required, it should not commence before the date given in the Section 20 Notice. Leaseholders are also advised of the amount of their contribution. If you disagree with the amount you have been charged you should contact the Leasehold and Home Ownership Officer (in writing) within 30 days of receiving notice. If you are having difficulties paying your service charges in one lump sum, please let us know and we can make an arrangement for you to pay by monthly instalments. Failure to pay your service charges may result in the Association taking legal action against you. FREQUENTLY ASKED QUESTIONS 33
FREQUENTLY ASKED QUESTIONS Frequently Asked Questions Do leaseholders have the right to manage the block in which they live? Leaseholders do have the right to manage the block they live in. The right must be exercised through a specific company, set up by the leaseholders for that purpose. The company must comply as required by the Commonhold and Leasehold Reform Act 2002. This is called collective enfranchisement. The landlord will make available information relating to the right to collective enfranchisement to any leaseholder requiring it. What exactly will I own if I buy the flat? Effectively you will own the inside of the flat. All the services that are particular to your flat, such as gas, electricity, water, telephone, will become your responsibility. The Association will still own the distribution part, up to stopcocks, gas meters, etc. You will also own the inside skin of your flat. This would include the floorboards, wall plaster, glass in the windows and the ceiling plaster. You would not own the outside or common walls, the structural floor or ceiling, or the window frames. Gardens - If you purchase the lease of your flat, you may have exclusive use of a shed and an area of the garden. This piece of garden is for your exclusive use and must be maintained by you. In addition to your own garden, there may be communal areas which you will have to make a contribution towards. Details of any maintenance costs will be highlighted on your service charge bill, for example grass cutting. Any outside space that is included will be detailed in your lease and shown on the map attached to your lease. Sheds - If you purchase the lease of your flat, this may also include a shed or storage cupboard. Details of this will be included in your lease and shown on a plan attached to your lease. Door Entry Systems: Most of our blocks of flats have a door entry system to make them more secure by controlling entry into the building. To help us maintain security: 1. Please make sure the communal door is locked behind you. 2. Only allow someone to come in if you are certain they are a genuine visitor. 3. Never leave the entrance door propped open. 4. Try not to let non residents follow you into the block. 34
If you lose your communal door fob (key), we can provide you with another but there will be a small cost. Can the property be used for any other purpose? No, the lease states that the premises are not to be used for any trade, profession or business whatsoever, but only for private residential purposes. Should I take professional advice before I purchase my flat? Yes. A lease is a complicated document which contains many complex conditions. You are strongly advised to discuss the lease in detail with a solicitor to establish your liabilities under the lease and their financial consequences before you decide to purchase. Frequently Asked Questions Can I sub let my flat? MHA has no objection to you letting out your flat and becoming a landlord, as long as: You let us know of any sub-let and keep us informed of all the details and any changes to those details. You make sure your tenants keep to the terms of the lease, as you are responsible for their actions. NB: In the event of the premises being left unoccupied for extended periods, due to subletting or otherwise, you should ensure that: Electricity supply is switched off at the mains; Gas services are isolated at the mains; Water supply is turned off at the mains and pipes drained down if appropriate; Any waste such as unwanted mail is removed regularly; The property is fully secured against unlawful entry. FREQUENTLY ASKED QUESTIONS Before purchasing a leasehold flat your solicitor should contact MHA to make enquiries about any outstanding service charges and/or forthcoming major works. Remember, your home is at risk if you do not keep up the repayments on the mortgage. 35
FREQUENTLY ASKED QUESTIONS Frequently Asked Questions Can I carry out alterations or improvements to the flat? Yes, but the Association s consent as Landlord must be obtained before such works can be carried out. Requests should be made in writing to the Leasehold and Home Ownership Officer. If I buy the flat, can I sell it whenever I want to? Yes, but if you sell within 5 years of buying the flat (via the Right to Buy scheme), then a proportion of the discount you received will have to be repaid to the Association. If you sell within one year all the discount needs to be repaid. There are some circumstances where the discount does not have to be repaid, for example, if the sale is to your husband, wife or another member of your family who has lived with you for at least 12 months. What can I do if I am dissatisfied with a decision that MHA has made? The Leasehold Valuation Tribunal enables leaseholders to take matters to it regarding: 1. Determining the reasonableness of service charges; 2. Determining the landlord s choice of insurer; and 3. The appointment of a manager in cases of historic bad management. It is still possible for a leaseholder to take a matter to court instead of the Leasehold Valuation Tribunal, but the court itself may decide to transfer the matter to a tribunal. There will be fees associated with taking such matters to a court or a tribunal. 36
Will MHA buy back my flat? Possibly, MHA will consider buying back flats depending on the circumstances, location, price, etc. If you purchased your flat from another leaseholder (i.e. not MCC or MHA) you can sell your flat at any time. We would, however, request that your solicitor contacts us to advise us of the sale and that you settle any outstanding service charges before proceeding. Frequently Asked Questions Will I stop paying rent if I buy the Lease of my flat? No, a small ground rent is still payable each year to the Association to show that the Leaseholder does not have the sole interest in the property. The Ground Rent is currently 10 per annum. FREQUENTLY ASKED QUESTIONS Where can I get independent free advice regarding my rights and responsibilities? The Residential Property Tribunal (formerly known as the Rent Assessment Panel for Wales) is an independent statutory body set up under the Rent Act 1965. The Tribunal s main responsibilities are to set up Rent Assessment Committees and Rent Tribunals to consider appeals over rent levels. The Tribunal also sets up Leasehold Valuation Tribunals to settle certain disputes between leaseholders and freeholders. LEASE, the Leasehold Advisory Service, is funded by Government to provide free legal advice to leaseholders, landlords and others on the law affecting residential leasehold. LEASE advisers are solicitors or non-practising barristers who can provide advice by telephone, letter or e-mail. See the Useful Contact Numbers on page 39. 37