A complete guide to being a leaseholder with The Gateshead Housing Company

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1 A complete guide to being a leaseholder with The Gateshead Housing Company

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3 About this guide Who is this guide for? Leaseholders living in either a Gateshead Council owned block of flats, or a flat above shops Council tenants who are thinking of buying the leasehold of their flat Anyone who is thinking of buying a flat from a leaseholder. What is it for? To explain the rights and responsibilities of: - You as a leaseholder - The Gateshead Housing Company as the landlord and managing agent 1 To provide help and advice about being a leaseholder To tell you about the services you are entitled to. 1 Managing agent - the company that manages leasehold properties for Gateshead Council, who is the landlord. 3

4 Contents What does it include? Introduction to leaseholding Rights and responsibilities Your rights and responsibilities Our rights and responsibilities Buying and selling a leasehold property and forfeiture Service charges Insurance Repairs and maintenance Asbestos advice for leaseholders Alterations and improvements Major works Management of your block Caretaking and concierge 2 Estate Tours Neighbourhood nuisance Access to services and information for leaseholders Compliments and complaints Getting involved Further information Useful contacts Page Concierge - service that maintains the security and smooth running of six multi-storey blocks in Gateshead. 4

5 Introduction to leaseholding As well as renting homes, The Gateshead Housing Company also looks after over 800 leaseholders who previously bought flats through the government s Right to Buy scheme, or from former tenants who owned the property. This guide gives full information on what you can expect as a leaseholder from the company, and your own responsibilities. 5

6 Who can be a leaseholder? A leaseholder is either: A tenant who has bought their flat from Gateshead Council - they own their own property but not the block it s in, or the land its built on Someone who has bought a flat from a Gateshead Council leaseholder and takes over the lease Someone who inherits the lease in a will. As a leaseholder, you have to pay your flat s share of Gateshead Council s costs of maintaining the block and providing services. This is called a service charge. What is a freeholder? Gateshead Council is the freeholder, as they own the building in which you live. The Gateshead Housing Company manages Gateshead Council s housing stock and is responsible for looking after the structure, exterior and common areas of the block. What is leasehold ownership? Leasehold ownership of a flat is simply a long tenancy and the right to own a flat for the term of a lease. The lease is a contract between you and Gateshead Council. It gives you and your successors 3 the right of possession of your flat for a fixed period (125 years at first) provided you keep to the terms of the lease. The lease comes with conditions, to protect the rights of everyone with an interest in the building. The property can be bought and sold during the term of the lease. The term is fixed at the start and then decreases in length year by year. For example, after one year of a lease being available on a property the term will drop to 124 years or, if you buy a leasehold flat from someone you will take it over at the current length of its term. The lease sets out who is responsible for what - what you as the leaseholder has agreed to do; and what the landlord is required to do. You should get a solicitor to look at the terms and conditions set out in the lease before you buy it. 6

7 IMPORTANT - the lease is a legal document so please keep it in a safe place. We can provide you with a copy, at a cost, if you lose it. To request a copy of your lease you must contact the Legal Services Department, Gateshead Council, Civic Centre, Regent Street, Gateshead, NE8 1HH. Leasehold service standards The company adheres to a range of standards to ensure that you as a customer receive the best possible service. New standards are currently being developed. For further information contact the Leasehold Services Team on As a legal document, your lease can be very difficult to read and understand. We have produced a Plain English explanation of what the lease says. However, this is only a guide - the legal wording in your actual lease would be used in law if there were a disagreement over its term. A copy of the Plain English version can be obtained from the Leasehold Services Team. 3 Successors - someone who takes over the property after you. 7

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9 Rights and responsibilities If you are thinking of becoming a leaseholder, it is in your interest to understand the legal rights and responsibilities required. This guide aims to help you understand leaseholding. Please note, it is to be used as a guide only and shouldn t be used in place of legal advice. 9

10 Your rights as a leaseholder There are several laws and acts of parliament protecting your rights as a leasehold tenant. 1. You have the right to ask your landlord to keep the common parts 4 of your block in a fit state of repair. 2. You also have the right to be consulted about major repairs for which you will have to pay a share. 3. You have the right to be consulted and make observations about agreements or contracts for services that the landlord wishes to buy in from outside of the company for a period of over 12 months. For example, for cleaning communal areas. 4. You have the right to access information about service charges and to challenge how reasonable those charges are. 5. You have the right to make alterations to the inside of your flat, as long as you do not remove structural walls 5 or cause damage to the outside or shared parts of the building. 6. You have the right to expect your landlord to deal with problems in your block, such as neighbour nuisance. 7. Under the law you have the right to the quiet enjoyment of your home, to live peacefully in your flat without interference from your neighbours or the landlord, as long as you keep to the conditions of your lease. 8. You have the right to sell your lease to anyone you want to. You can also leave it to someone in your will or give it as a gift. 9. You have the right to take in lodgers or rent your flat to anyone you want to. You do not have to ask our permission, but you must let us know if you do sublet 6, as it may affect your insurance. It is important that when you take in lodgers you do not become overcrowded. You must tell your mortgage lender if you sublet your flat. If you are not sure of your rights, a solicitor can advise you or you can contact the Citizens Advice Bureau (see the list of useful contacts on page 91). Your rights are explained more fully in other sections of this guide. You can also see copies of these acts online at 10

11 Your responsibilities as a leaseholder The responsibilities of ownership As a leaseholder, you effectively become a shareholder 7 in the block you live in. You have a responsibility to: Keep the inside of the flat in good order Pay your share of the costs of managing and maintaining your block Meet the living costs such as Council Tax, gas, electricity and water rates. Living with your neighbours Living in a flat can be difficult. You may have people above or below you, and you may have to share landings and other areas. You have a right to the quiet enjoyment of your flat, as do your neighbours. We will try to deal with people who cause a nuisance to you, but equally you must not cause a nuisance to them. For example, a tenant s breach 8 of their agreement could lead to them losing their tenancy. A breach of the terms and conditions of your lease agreement could lead to you having to forfeit 9 your lease. 4 Common parts shared parts of the building including the structure, facilities and services. 5 Structural walls a wall that affects the construction of a building as it helps to carry the weight of the floor above. 6 Sublet to allow someone to rent the property from you. 7 Shareholder an individual or group of people that has a specific interest or investment in the building. 8 Breach - to break a law, rule or regulation. 9 Forfeit - lose your home as a result of breaking the legal agreements in your lease. 11

12 Ground rent Leasehold is a form of tenancy so it is subject to the payment of a rent to the landlord. Ground rent is a specific requirement of the lease and must be paid on the due date. What is ground rent? Because leasehold is a tenancy, it is subject to the payment of a rent (a small charge of 10) to the landlord. Since 28 February 2005 leaseholders in England have improved rights and protection through the Commonhold and Leasehold Reform Act As a result leaseholders will be better protected against the threat of forfeiture 10, and will have to receive a written demand from their landlord for the payment of ground rent before it is due to be paid. By law we must give you notice that your ground rent is due. This must be no less than 30 days before and no more than 60 days after the day your ground rent is due to be paid. Service charges Service charges are payments by the leaseholder to the landlord for all the services provided. You must pay your share of the costs of managing and maintaining your block. This is a legal duty set out in your lease. If you do not pay your share, you are breaking your lease agreement and we could apply to a leasehold tribunal 11 and then to the courts to have your lease forfeited. In these circumstances, you could lose your home. We will always be fair about service charges. We will explain how they are calculated, and you can challenge any charges you do not agree with. Please see pages 25 to 32 for more details. If you have any difficulties paying your service charges please contact the Leasehold Services Team on , as we may be able to help. 12

13 Insurance The lease requires Gateshead Council to take out adequate insurance for the building and its common parts, and gives the council the right to recover the cost through service charges. The policy does not cover the contents or possessions of individual leaseholders flats. Please see pages 33 to 35 for more details. Major alterations You must not do anything that is likely to damage the structure of the building or cause damage to shared services (such as plumbing to the roof tank, electricity or gas supplies, or sewerage). If you want to carry out any work that may affect the rest of the building you must first get our permission in writing. You may also need planning permission and building regulation approval. Please see pages 55 to 63 for more details. 10 Forfeiture - lose your home as a result of breaking the legal agreements in your lease. 11 Tribunal - a special court or group of people who are officially chosen to examine legal problems of a particular type. 13

14 The rights of the landlord The Gateshead Housing Company, working on behalf of the landlord, Gateshead Council, has the following rights: Management and maintenance We have the right to make decisions about: The management of your block Repairs to and maintenance of the structure and shared areas of the block Improvements to the block. We will consult you about changes in management and about major repairs and improvements. See page 56 for more details. Charges We have the right (and a legal duty) to make charges for: Ground rent Management costs Repairs to and maintenance of shared areas Improvements to the block. Right of entry We have the right to enter your property to carry out an inspection if we have reason to believe that the property is in a state of disrepair 12 or if surrounding properties have been damaged, possibly as a result of problems within your flat. However, we must give you reasonable notice that we intend to do this. Examples of this would be if you removed a structural wall, or if damage is being caused to other properties in the block. For example, if a leak in your plumbing was flooding the flats below. If we find any defects or disrepair we will inform you by letter of the repairs needed and give you notice to fix the disrepair within two months of the date you receive the notification letter. If you don t meet the terms set out in the notice we will carry out the repairs ourselves and claim the costs from you. Please note, in the case of an emergency we have the right to gain entry without having to give you reasonable notice. We would therefore secure the property and do a temporary repair, for example, to stop a leak. 14

15 The leaseholder would then be responsible for the repair within the property. If the leak is to the communal pipe then we would be responsible for the entire repair. If you live in a block of flats where there is a caretaker or concierge and you intend to leave your property unattended for any length of time, you may find it useful to leave details with them of how you can be contacted, or if there is a relative we can contact on your behalf, in the case of an emergency. Consultation By law we have a duty to consult with you about any works we intend to carry out, before entering into an agreement with a contractor. This legal obligation 13 is set out in the Landlord and Tenant Act 1985 and has now been revised in Section 151 of the Commonhold and Leasehold Reform Act 2002, which became effective on 31 October Please see page 56 for more details. The responsibilities of the landlord Repairs We are responsible for keeping the structure and shared areas of the block in good repair. Please see pages 37 to 46 for more details. 12 Disrepair - needing to be repaired. 13 Obligation - something that someone must do. 15

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17 Buying and selling a leasehold property and forfeiture There are different ways to buy and sell a leasehold property. As a leaseholder, it is important you are aware of these processes should your circumstances change and what would happen if you broke the terms of your lease. 17

18 Buying and selling a leasehold flat There are two ways you can buy the lease of a Gateshead Council flat: Under the 'Right to Buy' 14 scheme if you are a council tenant and you are already living in the flat, however there are certain conditions you have to meet By buying the lease from the present leaseholder, if the flat has already been bought under the Right to Buy and is being sold again. In both cases we recommend that you get a solicitor to act for you to protect your interests in buying the lease. It is important you know what charges are owing on the property so you can make sure they are dealt with before the sale. You may have to pay some charges owed by the previous leaseholder (unless you are the first leaseholder) if they are not cleared before the sale. IMPORTANT - if you are thinking about buying a leasehold flat it is important to find out, for your own budgeting, what the current and future service charges are likely to be and what plans there are for major works that could affect the service charge after your purchase. If you buy the lease from the previous leaseholder your solicitor must tell us straight away. As the managing agent we have the right to know who is responsible for the flat. For more information about buying the lease to your property under the Right to Buy scheme please contact Gateshead Council's Home Ownership Team on or For more information please read the following leaflets, which are available either by contacting us on , or online at publications Thinking of buying a council flat? (communities and local government) Your right to buy your home (communities and local government). 18

19 Selling your lease or leaving it in your will You have the right to sell your lease to someone as long as you tell us within 21 days of the sale, and the transfer is carried out properly. If you choose to sell your property, you may wish to approach an estate agent of your choice to advertise it on your behalf. You can also give it to someone or leave it to someone in your will. When your sale has been agreed, the buyer s solicitors will generally request information about: Your service charges Whether any major works are planned or have been consulted How your account balance stands in relation to service charges and major works that form part of a standard pre-sale enquiry. Your solicitor will need to provide this information and will contact us on your behalf to obtain the relevant details. Your management fee does not cover these costs so we will charge a fee to your solicitors. Your solicitor and the purchaser s solicitors should agree with you the payment for service charges up to the date of sale, and arrange for further payment for those that haven t been issued yet. We charge a fee to register a transfer and to record the interest of the bank or building society that has granted a mortgage against the lease. If you sell your lease, or leave it to someone else, you must make sure it s all done legally to protect your interests and the interests of the person you are selling/leaving it to. Unless there is a proper legal document to show that someone else is now the leaseholder, you will still be liable in law for any charges for the property. If you die and you have not left the lease to anyone in your will, your executors will have to decide what to do with the lease. Any service charges still unpaid will be charged against your estate. If you have anyone you want to leave your flat to, such as your partner or children, you should seriously consider making a will regardless of your age. 14 Right to Buy - a government-approved scheme that allows council tenants to buy their current home at a discounted price. 19

20 Paying back discount Under Right to Buy legislation, there is a discount repayment period of five years. If you sell your home within this period, you will have to pay back some or all of the discount. The rules of liability to repay discount are determined in your lease. If you would like to know how much discount you would be liable to pay, contact Gateshead Council s Home Ownership Team on or Moving out temporarily If you are away from home for a long period, you should provide us with your contact details or leave your address with a neighbour or the police in case of an emergency. You will have to pay your service charges while you are away from home. Buying the freehold of your block A group of leaseholders within a block have the right under law to get together and buy the freehold 15 of their block from Gateshead Council. The Right to Enfranchisement 16 can only be carried out by a special company set up by leaseholders with the intention of owning and managing the building and its freehold. For further information about buying the freehold please seek independent advice. You will find useful information about costs and valuations on the advice website for leaseholders at Alternatively we can provide you with a paper copy. If you then wish to pursue the freehold purchase please contact Gateshead Council's Legal Services on

21 Buying the loft space in your home Gateshead Council has agreed to consider the sale of loft space above leasehold flats, subject to certain conditions. The Gateshead Housing Company and the council will establish if the loft space is suitable for sale. How much will it cost? The loft will be inspected by the housing company to ensure it is not needed for communal purposes, like shared water tanks, and that it will not obstruct access for maintenance. Gateshead Council will then decide a cost, and once agreed, they will make the final decision on the sale. If the sale is agreed a lease will be completed, which will run alongside the lease for your flat. Are any types of property not eligible? Loft space that is not eligible for sale: Those in multi-storey flats Those that require access through a communal entrance in the hallway. Are there any criteria for the use of the loft space? Yes, the converted flat must remain as one dwelling. It cannot be sub-divided and must only be occupied by a single family or individual multiple occupation is strictly prohibited. What about maintenance? The housing company, on behalf of Gateshead Council, will continue to have responsibility for the external aspect of the building and the internal beams. If any work is required to the internal beams you will have to allow access, and you will be responsible for the removal and reinstatement of any coverings to the floor, walls and ceiling. For an application form or for further information contact the Leasehold Services Team on or Gateshead Council s Home Ownership Section on Freehold - legal ownership and control of a building and a piece of land. 16 Enfranchisement - giving a person or group of people a right to vote. 21

22 Subletting your home to lodgers or sub-tenants A lodger is someone who shares your home, like a member of your family does. A sub-tenant is someone who rents your flat when you are not living there. You have the right to take in lodgers or rent your flat to anyone you want to. You do not have to ask our permission, but you must let us know. You should contact our Leasehold Services Team, as subletting may affect your building s insurance. If you sublet, please give us your new address so that we can contact you. However, if you let someone else rent all or part of your home, you become their landlord and you could be creating a tenancy that could be difficult for you to end. You could have considerable difficulty making them leave if you wanted your flat back. You could also have problems selling your lease if you have a 'sitting tenant' 18. Before you agree to rent your flat to someone else, you should look into it thoroughly. Ask our Leasehold Services Team or the Citizens Advice Bureau what you should do to make sure you are legally protected. It is important when taking in lodgers that you don't become overcrowded 19. Lodgers and sub-tenants do not have the same rights as you. So if your mortgage lender or landlord repossessed 17 your flat, they could be evicted. 22

23 Losing your home by forfeiture or repossession There are some circumstances when Gateshead Council or your mortgage lender could apply to the courts for possession of your home. Forfeiture Forfeiture is where Gateshead Council applies to the court to end your lease because you have broken the lease conditions. This could happen if: You do not pay your service charges or ground rent You would lose your home and would not usually get any payment or compensation 21. Forfeiture is a drastic action. As a responsible landlord, we only use it when we have to, to protect the interests of Gateshead Council, its tenants and other leaseholders. With overdue service charges, we will always try to help people who have genuine financial problems. Before applying for forfeiture for unpaid service charges, we would have to satisfy a Leasehold Valuation Tribunal (LVT) that the charges were reasonable and the leaseholder had made no attempt to pay them. You cause nuisance and harassment 20 to your neighbours. If the court decides that you have seriously broken the terms of your lease, it may end it and give us possession of your flat. 17 Repossess(ed) - to take back possession of a property that hasn t been paid for. 18 Sitting tenant - a person with a legal right to stay in a property they are renting. 19 Overcrowded - where more people are in a property that isn t large enough. 20 Harassment - behaviour that annoys, upsets or offends someone. 21 Compensation - money paid to someone in exchange for something lost, damaged or for inconvenience. 23

24 Repossession by a mortgage lender If you have taken out a mortgage to buy your lease, your mortgage lender has a 'legal charge' on your home. This means they can apply to the courts for repossession if you do not pay your mortgage. In the first instance contact your mortgage lender for advice if you think you are at risk of losing your home. You can also visit the Citizens Advice Bureau. Do not leave it until it is too late. If the court grants them possession, they have the right to evict 22 you, sell your lease and take what you owe them out of the proceeds 23. They must give you anything that is left over, unless someone else (such as Gateshead Council as your landlord) also has a legal charge on the property for money that is owed to them. If you have problems paying your mortgage or service charges ask someone for help - do not leave it until you are about to be evicted. We will always try to make an arrangement over service charges, and mortgage lenders will always discuss terms for making mortgage payments Evict - being forced to leave your property after receiving a possession order. 23 Proceeds - an amount of money received when something is sold.

25 Service charges As your landlord, Gateshead Council is responsible for maintaining the exterior and shared areas of your block. The Gateshead Housing Company is responsible for any repairs to these areas, and as a leaseholder, you have to pay a share of these costs or service charges. 25

26 26 What is a 'service charge'? When you buy a flat or maisonette 24 previously owned by Gateshead Council, as the landlord they are still responsible for the upkeep of the structure, exterior and shared parts of the block. The Gateshead Housing Company will provide most services, such as repairs, lighting, cleaning or caretaking, where these apply to your block of flats. As a leaseholder, you have to pay a share of the cost of these repairs and services. These costs are called service charges. Service charges are set out in the lease for your flat, and you should make sure you fully understand them before buying a leasehold property. We can help if you have any queries or concerns about this. What is included in my service charge? Your service charge will depend upon which services your block of flats receives. There is a separate charge for each individual service, which can change from year to year. You will be charged for the following services but only where they apply to your flat: Management fee This is a charge made for managing the leasehold service based on the property type (low-, mid- or highrise) and the services received. It includes all administrative costs, query handling and overheads. Ground rent Standard annual amount of 10 required in advance. Caretaker/cleaner The costs to the company to provide a caretaker or cleaner service to the block where you live, where applicable. Concierge The costs of providing a concierge service to your block, where applicable. Lighting The cost of electricity to power communal lighting in the block where you live. This doesn't include the costs of replacing bulbs or tubes, resetting lighting timers or other repairs. Communal heating The cost of gas used to provide heating and hot water to your flat from the communal boiler in the building, where applicable.

27 This does not include repairs and maintenance carried out to this service. Communal aerial The costs to the company to service the communal TV/radio aerial to your property, where applicable. Lift maintenance The costs to the company to maintain the lift service in your block, where applicable. Door entry The costs to the company to repair and maintain electrical equipment for the door entry system. Structural insurance The costs to the company (including Insurance Premium Tax at five per cent) to insure the structure of your property. CCTV The cost to the company of servicing and repairing equipment for the CCTV system in your block, where applicable. Major works You will also be charged for other works that are carried out to the block. These works, and their charges, are explained in more detail further in the section on major works - see pages 55 to 63. This explains more about what it will mean for you to have major works done to your block, particularly where you will have to pay a share towards the total cost. This is the cost to rebuild your property and not the market value alone. Upkeep of grassed areas The costs to maintain communal and individual areas of grassed land within the limits of your lease. 24 Maisonette - a flat on two levels that is part of a larger building. 27

28 How are service charges calculated? We will send out two service charge bills each year, which cover the period 1 April to 31 March, as follows: Estimated bill - this is sent in March of each year, and is an estimate 25 of how much we expect it will cost to provide services to your block of flats. These are usually based on previous bills. It does not include a charge for major works schemes carried out to the block. Your actual bill will show any payments that you have made on your estimated bill for that same year. This will leave an amount that must be paid within 21 days. The example on the next page shows how your service charge bill is broken down into separate costs and how the costs can be spread across monthly instalments. Actual bill - you will receive this within six months from 31 March each year, and will show the actual amount spent on each service in the previous year. This will include charges for any repairs and maintenance, or major works that have been carried out during the year. Your share of the cost for services and works is shown on your bill, and is usually based on the number of flats in the block. Actual charges may increase or decrease from the estimate Estimate - an informed guess about how much something will cost, be worth or what size it is.

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30 30 How do I pay my service charge bill? Estimated bill - this can be paid in full, quarterly 26 or monthly, depending on the terms in your lease. Actual bill - the actual bill is normally payable within 21 days. However, because this will sometimes contain large costs for repairs and maintenance and/or major works, you may find it difficult to pay within this time. Please contact us and explain your position if this is the case. If you are concerned that your actual bill might include unexpected costs above what we have estimated, you may choose to increase your monthly payments throughout the year to cover any shortfall. This is an option we offer that may help you to budget in advance of the actual bill being raised. Should you wish to do this please contact us on Easy ways to pay The Gateshead Housing Company provides a range of options to make it as easy as possible for leaseholders to make payments. You can pay at any PayPoint outlet, Post Office or housing office using your service charge payment card. You can call using your debit or credit card 24 hours a day. You can pay by Direct Debit contact the Leasehold Services Team on for a mandate 27 form. You can pay online or check your balance at housing.co.uk/payment You can send a cheque or postal order to any of our payment offices, or to Keelman House, Fifth Avenue Business Park, Fifth Avenue, Team Valley Trading Estate, Gateshead, NE11 0XA. Cheques should be made payable to The Gateshead Housing Company with the payment reference clearly shown on the reverse. Do not send cash in the post. If you work for the housing company or Gateshead Council your service charge and ground rent can be taken directly from your salary. Contact the Leasehold Services Team to arrange. If you do not wish to pay monthly or in full, but in another way, please contact us on

31 Welfare benefits For advice on benefits please contact our Welfare Benefits Advice Service. The service offers free advice, support and representation to tenants and leaseholders in Gateshead who are experiencing multiple debt problems. We will help you deal with all of your debts, not just your service charge arrears. If you have received a notice from the person you owe money to, telling you they have applied to go to court, it is not too late to ask us for help and advice. If you don t have multiple debts but have a low income we can also make sure you are getting all the money you are entitled to. We would do this by checking you are claiming all the benefit, tax credits and tax allowances that you are entitled to. We will then help you to make a claim and check you are being paid the right amount. Non-payment of service charges The company will take prompt action to recover costs where service charges and ground rent haven t been paid, to protect the interests of both Gateshead Council and other service charge payers. However, we will be responsible in our actions to make sure anyone experiencing difficulties in paying charges is made aware of the sources of advice available. We ask that leaseholders having any difficulties make us aware of their situation as soon as possible to avoid any unnecessary action. REMEMBER: Don t ignore the problem Get in touch as soon as you realise there is a problem so the situation can be brought under control at an early stage We can offer you practical advice or refer you to people who can help. You can contact the team on or by ing welfarebenefits@ gatesheadhousing.co.uk 26 Quarterly - once every three months; four times a year in total. 27 Mandate - an official permission for something to happen. 31

32 What if I don t agree with the charges I ve been asked to pay? If you don t agree with a service charge or with a valuation for works, and you are not satisfied with the company s response, you may want to have your case heard by the Leasehold Valuation Tribunal (LVT). It usually includes an inspection of the property and can take one or two days. Following the hearing, the tribunal will send out its written decision to the company and the leaseholder. The decision will either change the amount the leaseholder has to pay, by more or less, or will agree with the company s charges or valuations. What does the Leasehold Valuation Tribunal do? The LVT is part of the Residential Property Tribunal Service (RPTS). The LVT acts as an independent arbitrator 28 to decide whether service charges are reasonable. The tribunal can help with the disagreements about: Insuring the building How much you are being asked to pay for service charges The quality of services you have received. At the tribunal, a panel of three people, normally a lawyer, valuer and a layperson 29, will hear the case. What will a tribunal cost? Initially, there is an application fee, which can vary between 300 and 500. The LVT doesn t have the power to award costs, so if you decide to employ professionals such as surveyors or solicitors to help your case, you will have to cover the cost of their bills yourself. You can find out more about LVTs at or by contacting the Residential Property Tribunal Service (RPTS) National Helpline on Arbitrator - a person who has been officially chosen to make a decision between two people or groups who do not agree. 29 Layperson - someone who is not trained in or doesn t have detailed knowledge of a particular subject.

33 Insurance We never know what s in the future, so its important that our home and its contents are protected. Gateshead Council takes out insurance for your block and its communal areas, however you are responsible for the contents of your flat. 33

34 What is the building insurance charge? We pay for the structural insurance on your flat, and then you are charged a share of this as part of your service charge. The insurance policy covers structural damage caused by vandalism, storms, theft and subsidence. You will not be charged for damage caused by vandalism or theft if there is a police crime number recorded by the HomeRepairs Team on , against any repairs that are reported. The benefits of Gateshead Council arranging this insurance are that: If you need to make an insurance claim or require more information about what the policy covers, please contact Gateshead Council's Financial Management Section on Please contact us on for details about the current rate for insurance cover and the current minimum amount that needs to be insured. If you then require this minimum amount to be increased, please write to Gateshead Council, Insurance Section, Finance and ICT, Gateshead Civic Centre, Gateshead, NE8 1HH, with your revised amount. All leaseholders have adequate insurance to protect all tenants in the building A lower rate of insurance than that available elsewhere can usually be obtained Gateshead Council will make claims on your behalf where it s been made aware of damage caused as a result of storm damage and vandalism. Contact the Leasehold Services Team on for more information. 34

35 Contents insurance The insurance policy does not cover your contents, so you are strongly advised to arrange your own contents insurance with an insurance company of your own choice. You may like to consider Gateshead Council s scheme negotiated with Royal & Sun Alliance Insurance plc, one of the UK's leading insurers. To find out more and for a free no-obligation quote on your home insurance, call Age Concern on , lines are open 8am to 9pm Monday to Friday, and 9am to 5pm on Saturday. If you would a like face-to-face discussion, visit your local Age Concern. Working with us, Royal & Sun Alliance has produced a home contents policy specially designed for Gateshead Council s leaseholders and tenants that is jointly managed by the council and housing company. It is a simple scheme that offers value for money, with premiums payable with your leasehold service charges. This is a voluntary scheme and you are of course free to make your own arrangements. If you are over the age of 50, Age Concern has a special package in partnership with Norwich Union, which offers: The option to spread payments over 12 months at no extra cost Flexible options to pay by cash, cheque or credit/debit card A first-class claims service that s prompt and efficient. 35

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37 Repairs and maintenance As part of our commitment to quality services, The Gateshead Housing Company aims to provide a reliable and quick repair service to leaseholders. This guide tells you about the repairs service and explains our responsibilities as the service provider, as well as your responsibilities as a leaseholder. 37

38 Who is responsible for repairs? We are responsible for keeping the common parts of your block in good repair. This means we will look after the structure of the building and the landings and hallways, including lighting and controlled door-entry systems. As a leaseholder, you will have to pay a share of the cost of these repairs. Repairs we are responsible for carrying out include: Foundations Outside walls Roofs, chimneys and chimney stacks, including loft space Drains, gutters and pipes outside your home Outside decoration and decorations to entrance halls and shared areas Shared lifts Shared wiring and lighting, TV aerials and lightning conductors Shared refuse chutes Shared boundary walls, fences, gates and paths Outside entrance doors, but not the front doors of individual flats Window frames and sills (not including glass) Shared water pipes, water tanks and gas pipes Shared heating and hot water systems Light fittings in shared areas Controlled door-entry systems. Tenants are also advised in their tenancy agreement that we will clear blocked drains as soon as possible, but if they have caused the blockage by not using the drains properly we will charge them for the work. You are responsible for: Carrying out repairs to the inside of your flat, internal doors, glass in your windows and all fixtures and fittings Keeping the boundary fences and walls as indicated on your lease plan in good repair and condition (the remaining wall and fences, if any, will be the responsibility of the company) 38 Balconies, stairs, sheds and garages

39 Any damage to the common parts and services caused by you, members of your household, or your visitors Chimney sweeping Heating All decoration inside your flat Any service pipes and cables that serve your flat only are your responsibility. We will: Help you identify the repair needed How to report a repair that is our responsibility If you think we are responsible for a repair, contact the HomeRepairs Team. Repairs reported by a leaseholder will receive the same priority as if reported by a tenant of The Gateshead Housing Company, and will be dealt with accordingly, depending on the urgency. If you are not sure who is responsible, HomeRepairs will be able to advise you, or you can refer to the conditions of your lease. Tell you the maximum time we will take to complete the repair Offer you an appointment for all urgent and routine repairs at a time that is convenient to you We will write to you by post and confirm details of your repair, as well as any appointment that we made for you Take care to protect your furnishings while doing repairs Tidy up mess and remove rubbish within two working days of finishing the repair Inspect ten per cent of all completed repairs to check the quality of work Monitor our performance and quality of service, and publish performance figures. 39

40 There are many ways you can report a repair that is our responsibility: You can phone HomeRepairs on FREEPHONE from 8am to 7pm Monday to Friday, and from 8am until 12 noon on Saturdays HANDY HINT busy times for calls to the service are Monday and Tuesday mornings. So if your repair is not urgent, then you may find it easier to call at quieter times, such as after 5pm. You can report an emergency repair at any time day or night by phoning HomeRepairs on FREEPHONE Please note: If you demand an out of hours emergency call out when the repair could have been dealt with reasonably within normal working hours, there may be a call out charge. Each of our housing offices and concierge suites has a phone that you can use to call the service free of charge. You can use the freephone in any of our housing office reception areas Text us on (keyword REPAIR ) By fax on repairs@gatesheadhousing.co.uk Visit any housing office. Full contact details are listed at the back of this guide Tell any employee of The Gateshead Housing Company if they visit you at home, or when they are out on your estate. 40

41 What you should do in an emergency: If you think you can smell gas Ring Transco immediately on (Minicom/textphone ) Turn off gas supply at the meter Open windows and doors Call HomeRepairs on FREEPHONE REMEMBER don t smoke, use naked flames, or turn electric switches and appliances on or off. IMPORTANT we recommend you carry out a yearly service of gas appliances. If you have a burst pipe Turn off water at the stoptap (usually in the kitchen or bathroom) Turn all cold taps on, to drain the system (but remember to make sure the plug stays out of the plughole) Put a bucket under the leak, wrap a cloth around the pipe, and fasten with tape Contact a plumber Call HomeRepairs on FREEPHONE to inform us of the situation. We will need to ensure the burst doesn t affect communal areas or other properties around you. HANDY HINTS Check the batteries on smoke alarms regularly. Know where the stoptap is and test it regularly. Keep a torch handy. Keep a spare phone handy that doesn t need to be plugged into an electrical socket some newer phones may not work if your electricity is off. Keep a battery radio handy and listen to local radio stations, such as BBC Radio Newcastle 95.4 FM, for news about the weather and emergencies. If water is going into or near electrical equipment, then turn the electricity off at the consumer unit (the fuse box) 41

42 What do I need to tell you when I report a repair? When you report a repair you need to tell us: Your name, address and telephone number if you have one - leaving your phone number will help us if we need to contact you Your house number will then be highlighted on the repair notification that goes out to the leaseholders in your block As full a description of the problem as possible If the repair is needed as a result of storm damage If the repair is needed as a result of a crime or vandalism - you must then provide us with a crime reference number. The police will be able to provide you with this once you have reported the incident to them. The crime reference number is needed for making any claim for insurance. What will happen next? We will first make sure that it is our responsibility to do the repair. If it is, and we have enough information about the repair, an order will be placed with a contractor to carry out the work. Wherever possible the order will be placed immediately. When I ve reported the repair, how long will it take before the work is done? We have guidelines on how long different repairs should take. This makes sure that everyone is treated fairly. The main types of repairs are: Emergency work - we aim to complete within 24 hours These are repairs, which if not dealt with very quickly, could cause injuries or further damage. This includes things like burst pipes, blocked drains, securing windows or doors and loss of electricity. In the event of an emergency you should contact HomeRepairs on FREEPHONE for advice on what actions can make the property safe. 42

43 If you can t carry out the advice yourself, and a neighbour, family member or friend can t help, then the contractor will call that day. If you call between 3pm and 8am Monday to Friday, or on a weekend, the contractor will call and make the property safe. Where the contractor makes the block safe, a return visit will be arranged to finish the repair the next working day. This will happen unless parts are not available or it is not an emergency, then it will be done within the relevant category and timescale. If that happens, the repair will be completed at the earliest opportunity. We will advise you of progress until the repair is complete. If you are vulnerable 30 or have special needs, we will take appropriate measures in addition to the make safe policy. For example, temporary heating may be provided in certain circumstances. Urgent work - we aim to complete within three working days These are repairs that need quick attention and don t require an inspection first. These include repairing a leaking roof or minor leaks. Routine work - we aim to complete within 20 working days (four weeks) These are less urgent repairs, such as leaks to a gutter and repairs to paths. Some of these repairs may need to be inspected before the repair can be done. Planned repairs - we aim to complete within 40 working days (eight weeks) These are less urgent repairs such as renewing floor tiles, floorboards or supplying and fitting a new kitchen unit, which should be finished up to eight weeks from reporting it. Some of these jobs need to be inspected before the contractor can start the work. The inspector will call to the block, at an agreed time, and they will arrange another appointment to call back and finish the repair. 30 Vulnerable - able to be easily physically, emotionally or mentally hurt, influenced or attacked. 43

44 Programmed work - some work to your home is done as part of a planned maintenance programme This covers things like outside painting. We will tell you in advance when any work like this will happen. If your repair can t wait until the programme, we will carry it out within the normal timescales. We will carry out the repairs as necessary, and you will be charged a share of the cost of these works as part of your service charge, depending on the number of flats in the block. You will receive a quarterly repair statement to show what you will be charged at the end of the year. Gas appliances You must have all gas appliances serviced every year and send us a copy of your gas service certificate. Gas servicing Since October 2007, all tenants purchasing flats or maisonettes under the Right to Buy scheme must provide evidence to the housing company of a regular gas service. If a certificate is not supplied, the company has the right to carry out the service and recover any costs from you. We realise that finding a reputable 31 Gas Safety Registered 32 company can be difficult as there are many companies offering similar services at competitive prices. To make it easier for you, the housing company will service your appliances at a competitive rate so you can be safe in the knowledge that is has been done by a qualified tradesman. For more information and applicable costs, contact the Leasehold Services Team on

45 Making sure you get a good service Don t forget that the cost of repairs will normally be shared between you, Gateshead Council and other leaseholders in your block. It is important that we all get value for money from the repairs service. If the job is not completed properly, or is not done within the time given above, please contact the HomeRepairs Team on FREEPHONE If you are unhappy with the standard and quality of the work please contact us on Repairs to your own flat You are responsible for repairs to the inside of your flat and the glass in your windows. You should make your own arrangements to get someone to do the repairs for you. You will be liable for any damage caused to the landlord s property and you will have to pay to have it put right. If you are in any doubt about work you intend to carry out, contact the Leasehold Services Team to explain the situation. They will decide if an inspection is needed. You must not continue with the work if they tell you not to. Contact details for the Leasehold Services Team can be found at the back of this guide. You must not do repairs on landings, stairways and other shared areas, as you would not be covered by our insurance if you had an accident or caused damage. If you, your visitors or members of your household cause damage to shared areas you will have to pay for the repairs. Always report repairs in shared areas to the HomeRepairs Team on FREEPHONE If you, or someone you have employed, are carrying out repairs inside your flat you must make sure that no damage is done to shared services or the structure of the block. 31 Reputable - having a good reputation and able to be trusted. 32 Gas Safety Registered - legal registration for trained and experienced gas installers. 45