Leaseholder Information

Leaseholders and service charge payers

This section is for you if your home was originally sold by Kerrier District Council, Kerrier Homes Trust Ltd or Coastline Housing Ltd and your purchase agreement says that you are liable to pay a service charge to Coastline Housing Ltd because:

• You live in a flat with shared areas that are maintained by us
• Your home has private sewerage that drains into private sewers owned by us
• You live on an estate with shared areas that are maintained by us

If you are a shared owner, you have different legal rights. Look at the shared owners section of our website for more information.

What is a leaseholder?

If you have bought a flat in a block owned by us, you are a leaseholder.  As the owners of the land, we are the freeholders.  Your agreement with us is called a lease; this gives you ownership of the flat subject to certain rights and responsibilities which are set out in your lease agreement.

All leases last for a fixed period of time and your agreement will say for how long the property will belong to you (or anyone who buys it after you) - normally a right to buy lease will last for 125 years from the time that the flat was first sold by us or by Kerrier Homes Trust or Kerrier District Council.  Eventually the lease will come to an end and ownership of the property will pass back to the freeholder unless the lease is extended.

Your lease will tell you:

• How long your lease lasts
• What ground rent you have to pay and when it is due
• Which parts of the building you own or are responsible for maintaining
• Which parts of the building we are responsible for maintaining or any other services we are responsible for providing
• Who insures the building and what your responsibilities are
• What costs you have to contribute to through your service charge
• What other costs you are responsible for paying yourself
• What you can use your property for
• About any restrictions on who you can sell or let it to
• What you need to do if you want to alter or extend your property or do anything that might affect an adjoining property
• About your responsibility to keep the flat in good repair and to keep the garden tidy if you have one
• About your responsibility to ensure that you or your household, visitors or pets do not cause a nuisance or inconvenience to us or your neighbours.
• About your responsibility to tell us within one month if you sell, let, sublet or transfer ownership of the flat and give us a copy of the agreement
• About the access arrangements for repairs to your home or any other rights of access over your property to adjoining properties
• About any other rights that you or other people have over your property or neighbouring land

If you pay a service charge, you have a number of important legal rights, including:

• A right to be notified in advance of any changes to your service charge
• A right to challenge your service charge at a Leasehold Valuation Tribunal
• A right to see a summary of the service charge costs for the previous financial year and to inspect the accounts and invoices on which the summary is based
• A right to a summary of the insurance policy for your building
• A right to be consulted about work which is likely to cost you more than £250 inclusive of VAT
• A right to be charged, or notified of service charge costs, within 18 months of the cost being incurred
• A right to be consulted where a service contract of more than 12 months (for example for gardening) will cost more than £100 per annum for each Leaseholder, and the contract is for more than one year

You will find more detailed information in the Landlord and Tenant Acts 1985 and 1987 and Commonhold and Leasehold Reform Act 2002, which should be available at your local library.

You can also contact LEASE (Leasehold Advisory Service) www.lease-advice.org.uk

Rights of long leaseholders

If you have a lease that was originally granted for more than 21 years (even if it has less than 21 years to run) the law classifies you as a long leaseholder and gives you special rights.  If you own a leasehold flat bought under the Right to Buy scheme, this section applies to you.  Please note that Shared Owners are not classified as long leaseholders and have a different set of rights - click here to be taken to the shared ownership section.

Your rights as a long leaseholder:

. The right to information about the landlord
This includes: the landlord's name and address, and an address in England or Wales where notices can be served; if your landlord is a company, you can write to the landlord for the names and addresses of all of the directors and the secretary of the company.

. The right to seek recognition for a tenant's association (RTA)
A recognised tenant's association (RTA) has additional rights. It can ask  for a summary of service charge costs incurred; inspect accounts and receipts for the property in relations to service charge costs; ask to be consulted about the appointment or reappointment of a managing agent;and appoint a surveyor to advise on any matter relating to service charges.  The surveyor will have the right to see and copy supporting documents held by the landlord, to inspect common parts, and to appoint assistants.

To gain recognition, the secretary of the association should ask the landlord for a written notice of recognition.  Alternatively, you may apply to your rent assessment panel for a certificate of recognition.  As a general guide, an association should represent at least 60% of the flats in the block in respect of which variable service charges are payable.  Contact our Community Participation Team for more information on setting up a resident's association or about joining an existing one.

.The right to information about service charges and the right to challenge the reasonableness of those charges
A leaseholder or secretary of a recognised tenant's association may ask the landlord for a summary of the costs on which the service charge is based.  Your landlord must provide you with a summary for the last service charge accounting year, showing:

• How the costs relate to the service charge demand or if they will be included in a later demand;
• Any items for which your landlord did not receive a demand for payment during the accounting period;
• Any items for which a demand was received and no payment was made during the accounting period
• Any items for which a demand was received and paid within the period
• Whether any of the costs relate to works for which an improvement grant has been or is to be received.

After you have received the summary, you also have the right to look at the accounts, receipts and other documents on which the summary is based, within six months of receiving the summary.  You also have the right to challenge the reasonableness of any service charge or of the standard of works or services at a Leasehold Valuation Tribunal.

The right to be consulted about major works and long term agreements

Major works
If we plan to carry out works of repair, maintenance or improvement which would cost individual leaseholders more than £250 each, we must write to telling you what is proposed and giving you 30 days to comment.  You may inspect the specification of the works during this period and provide us with the name of a contractor that you wish us to approach for an estimate.

We must obtain at least two estimates for the work.  We will then write to tell you how much the works will cost and our response to any comments made during the consultation period.  We will make the estimates available for inspection by leaseholders.

Long Term agreements
If we propose to enter into an agreement for the provision of services or works for a period of 12 months and the cost to you will be more than £100 per year we must consult you in writing about what we are proposing and why..  There will be a 30 day consultation period to allow you time to make any observations, which we must take into consideration.  Within this period, you may also nominate a contractor from which you wish us to obtain try to obtain an estimate.

Once estimates have been received, we must write to you again giving you details of the estimates we have received together with the length of the proposed agreement.  We will also provide an estimate of how much we think you will have to contribute and whether is likely to vary.  We will also summarise any observations made by other leaseholders and our response to them.  There will be a further 30 day consultation period allowed for you to give us your views.

If we do not accept the lowest tender, we must write to you within 21 days giving you reasons for our choice of contractor.  We may only be able to charge you a limited amount if we fail to follow these procedures without dispensation from a Leasehold Valuation Tribunal.

Once we have entered into a long term agreement, we may still have to consult you on a more limited basis where we intend to carry out works which will cost you more than £250 under that agreement.

The right to information about insurance
If your service charge includes an amount for buildings insurance, you have the right to request a summary of our insurance cover.  We will provide this within 21 days.

The right to take over the management of your block without having to prove that the landlord has failed in his duty to manage the property
Under some circumstances, you may be able to exercise the 'Right to Manage'.  This is where a majority of qualifying leaseholders set up a management company to take over management of the building they live in.  Not all buildings qualify for this right.  The rules are quite complex; for further information click here. http://www.lease-advice.org/rtmframe.htm

Right to a service charge loan
If your home was originally sold by Kerrier District Council before 23 March 1998 but within the last 10 years, you may be entitled to a loan from the Housing Corporation to meet the cost of paying your for property repairs through your service charge.  Loans are available for service charges amounts payable in excess of £1,500 in any one accounting year.  The amount of the loan must be no less than £500 and no more than £20,000.  The loan is secured by a mortgage against your property.  If we think you may be eligible for a service charge loan, we will give you more information about this when we send you your service charge bill.  If you want to apply for a loan, you must do this within 6 weeks of receiving your service charge invoice.  Contact us for further information or click here http://www.communities.gov.uk/index.asp?id=1151336 to be taken to the website of the Department of Communities and Local Government.

Ways to pay

Your lease will tell you how often your ground rent or service charge is due.

There are a few ways you can pay us:

Direct Debit
Direct debit is the easiest and most convenient way to pay, for customers who either have or intend to open a post office, bank or building society direct payment or current account.
With Direct Debit, the right amount of rent is always taken from your bank account; if your rent increases, we are responsible for telling your bank.

You can ask us for a Direct Debit form, which will be sent to your home address. For information on paying your rent by Direct Debit, please call us on 0808 202 7728.

Online
You can pay us online by logging into the customer area on the right hand side of this page.

By post
Please send all payments to:
Coastline Housing Ltd
Ferris House
Dolcoath Avenue
Camborne
TR14 8SD
Cheques should be made payable to 'Coastline Housing Ltd' and crossed and marked 'A/C payee only'. Please write your rent account number on the back of your cheque in BLOCK CAPITALS.

Financial Hardship

If you are having difficulty in paying a service charge bill, please let us know.  We appreciate that bills for major works can be an unforeseen expense.  We are happy to discuss arrangements for you to pay in instalments if appropriate.

If you are on a low income or experiencing financial hardship, your local Jobcentre Plus can advise about eligibility for benefits that may help you maximise your income.  In some cases, this may include a contribution towards mortgage interest payments.
If you are having problems managing other debts, the National Debt Helpline offers a free telephone advice service (0808 808 4000).  Alternatively, you may prefer to contact your local citizen's advice bureau www.citizensadvice.org.uk

If you are having difficulty meeting your mortgage repayments, it is essential to speak to your mortgage lender as soon as possible; you may be able to avoid losing your home through repossession by negotiating different payment terms or a payment 'holiday'.  If you do face possession proceedings, you will need expert advice . Your local citizen's advice centre (www.citizensadvice.org.uk) or the Community Legal Service (0845 345 4345) may be able to offer legal advice. 

If there is a risk you may become homeless, you should contact your local authority housing department for advice as soon as possible.

Selling your home

If you sell your home within the first 5 years of buying it from us, you will have to repay some or all of the discount.  If you sell your home for more than your bought it within this time, you may have to repay a share of any profit as well.

How much will I have to repay?

If you sell in the...	you will repay...
First year after buying	All of the discount plus a share of any profit
Second year after buying	Four fifths (80%) of the discount plus a share of any profit
Third year after buying	Three fifths (60%) of the discount plus a share of any profit
Fourth year after buying	Two fifths (40%) of the discount plus a share of any profit
Fifth year after buying	One fifth (20%) of the discount plus a share of any profit

   
For Example
For example, if your home was valued at £100,000 when you bought it and you received £30,000 discount, that means that you received a 30% discount.

If you then decide to sell your house at £150,000, 30% of the sale price is £45,000.  The amount you would have to pay back in this example is:

If you sell in the.	You will have to repay
First year after  buying	£45,000 (5/5 of 30% of the sale price)
Second year after buying	£36,000 (4/5 of 30% of the sale price)
Third year after buying	£27,000 (3/3 of 30% of the sale price)
Fourth year after buying	£18,000 (2/5 of 30% of the sale price)
Fifth year after buying	£9,000 (1/5 of 30% of the sale price)

Restrictions on re-selling your home

Ex-council homes in certain areas, such as Areas of Outstanding Natural Beauty, National Parks and designated rural areas (including Kerrier, Carrick, Caradon and North Cornwall), may be subject to special restrictions affecting who you can sell or let them to.  This applies to you even if you are not the original buyer and will apply to anyone who buys the property after you.

These restrictions were introduced by the Housing Act 1985 and were designed to prevent homes in rural areas being sold on as holiday homes or second homes to people without a connection to the area.  Alternatively, your home may be subject to a different type of restriction requiring you to offer your home for sale to us before offering it for sale on the open market (a right of pre-emption).  These restrictions apply only to homes that were originally sold at a discount under the Right to Buy or Right to Acquire scheme.  They do not apply to properties that have been offered for sale by the Council, Kerrier Homes Trust or Coastline Housing Ltd on the open market without a discount.

You should check with your solicitor to see if either of these restrictions affects your home before advertising your home for sale.  Your estate agent will need to know if there are any conditions that potential buyers have to meet.  If you try to ignore these restrictions, your sale could fall through when the buyer's solicitor discovers them, causing you both unnecessary disappointment and expense.

Restrictions of this kind will normally say that buyers or tenants have to be approved in writing by Coastline Housing Ltd.  Sales made without our approval may be legally void.  Before we give our approval, you will need to prove that your buyer, tenant or licensee meets the following conditions:

Throughout the period of three years immediately preceding the application for consent they must have either:
a. had his/her place of work in Cornwall; or
b. had his/her only or principal home in Cornwall.
The three year qualifying period can be made up of a combination of time in residence and work anywhere in Cornwall.  If more than one person is buying, only one of them has to meet these conditions.

Completing your sale
When you complete your sale, we will need to know the names of the new owners so that you do not continue to receive service charge bills from us and so that we can provide the new owners with information.  It may be a condition of your lease that you or your solicitor tells us the identity of the buyer when you sell or let the property. 

We also ask that you remember to pass on your leaseholder handbook to the new owner. They will need to know how to contact us and pay their service charge and about their rights and responsibilities as one of our leasehold customers.

Anti social behaviour

Most of us try to be good neighbours. If someone's behaviour does upset us, often a friendly word is all that is needed to resolve matters. Sometimes things can't be solved so easily and someone's behaviour can become a real nuisance.

What is anti-social behaviour?
Your agreement with us says that you mustn't cause a nuisance or indulge in anti-social behaviour.  You are also responsible for the behaviour of your household, anyone who comes to visit you and any pets belonging to you or your visitors. 

Anti-social behaviour means acting in a way that causes or is likely to cause alarm, harassment or distress to one or more people in another household.  This includes your neighbours and any visitors to your neighbourhood, including staff or contractors working on our behalf.

What is harassment?
Harassment is a serious form of anti-social behaviour which is directed at individuals, their families or groups of individuals. It involves offensive behaviour that interferes with other people's quality of life.  Sometimes it results from discrimination because of people's colour, race, sex, sexuality, religious belief, age or disability.  We take allegations of harassment very seriously.

Harassment may involve

• Violence or threats of violence towards anyone.
• Violent or intimidating behaviour, including possessing a weapon or something that could be used as one.
• Insulting or racist words or behaviour, including threatening or abusive graffiti
• Vandalism, damage or threats of damage to someone's property
• Malicious phone calls or letters
• Deliberately playing music, TV's or radios at a high volume to annoy a neighbour.

Your rights
We believe that you have the right to enjoy living in your home and that everyone has the right to live in an environment free from intimidation and social behaviour.

We will investigate any complaints made relating to anti-social behaviour and take action that is appropriate to the seriousness of the behaviour.  This is not a guarantee that we will or can take legal action in every case.  Apart from very serious cases of violence or harassment, we encourage residents to try and sort out their differences where possible.   You should remember that a serious breach of your lease can result in the loss of your home as a court may order your lease agreement to be ended (forfeited) before its normal date of expiry.  We may take action to evict you if you are convicted for using your home for anything illegal.

Being a good neighbour

The types of nuisance and annoyance most likely to result in complaints are:

• Playing music, TV or radio too loudly or with windows open
• Offensive drunkenness or drug abuse
• Shouting, loud arguments (especially involving foul language), slamming doors
• Gathering in stairwells or outside properties, drinking, spitting or intimidating other residents
• Vandalism and graffiti
• Dumping rubbish
• Revving car or motorbike engines repeatedly
• Repairing motor vehicles on your own property or in shared areas (other than minor maintenance on your own vehicle)
• Dogs barking and fouling or being out of control
• DIY at unsociable hours
• Throwing things from balconies or out of windows

Pets
Measures such as keeping your dog under control and picking up after it are a matter of common sense.  Not leaving your dog along for long periods will help prevent prolonged barking becoming a problem.

Noise
Noise is one of the most common causes of neighbour disputes.  Apart from keeping the volume down on TVs, radios, musical instruments etc., it's best to warn your neighbours beforehand if you're planning to have a party and tell them when it will finish - better still, invite them along.  Keep the music down and ask people to be quiet when they leave.

You will need our permission for any public events in your home or in any shared areas, although normal private parties are not a problem.

Rubbish
Leaving rubbish outside your property isn't likely to endear you to your neighbours.  It's unsightly and can devalue your home.  It's also unhygienic and may attract vermin.

If you have large items to dispose of your local council may be able to arrange collection. Alternatively the SOFA project may be able to collect furniture that is suitable for re-use.

Making your views heard

Coastline Housing Ltd is committed to providing quality services to all Customers and Leaseholders.  We believe that customer participation and community development in the decision-making process is fundamental to our business development and is essential if customers are to truly influence service delivery, strategic priorities and ultimately the future direction of the Company.  Customer participation ensures that you, Coastline Housing Customers and Leaseholders, have the opportunity to tell us what you think about the services we provide, the way in which they are delivered and the standards that you expect from us.