ACKLAM, THE AVENUE
AFFORDABILITY GUIDE
Indicative Anticipated Annual Management and Maintenance Fees and Other Costs
This form highlights any anticipated costs that customers may be liable for during the first 10 years of ownership of their new home. Where estimated costs are provided, it must be borne in mind that those costs will be likely to increase year on year in line with RPI.
This does not include such areas as mortgage payments, utility bills or home insurance, but covers potential anticipated costs of running and maintaining a home. These costs are indicative and based on the best information at this time but could be subject to change.
In addition to the items noted below, Customers should follow the manufacturers guidelines and warranty requirements in order to maintain any appliances or fixtures within their new home.
Furthermore, whilst running in a new home, it is important to maintain good levels of ventilation whilst thestructure is drying out. This could include the use of extractor fans inbathrooms andkeeping trickle vents open on windows. For further information, please refer to the Customer Service team.
The projected costs referred to below are only estimates, are not intended to reflect all possible costs that a customer may incur and are provided for guidance only. Actual costs incurred may be higher or lower than specified and we accept no liability should actual costs incurred differ from those set out.
INDICATIVE COSTS RELATING TO THE TENURE OF THE NEW HOME
Management Company (if applicable)
Managing Agent
KINGSTON PROPERTY SERVICES LTD
Cheviot House
Beaminster Way East, Newcastle Upon Tyne NE3 2ER
0330 123 1133 or 1919 238 3838
Managing Agent N/A.
Block Service Charges (Leasehold Properties) N/A
Estate Management Charges
Estate Management Charges are payable by owners of both freehold and leasehold properties. They cover the cost of the maintenance and upkeep of the communal areas on the Development and are known as the Estate Services.
The Estate Management Charges have been estimated by the Managing Agent and are an estimate of the costs likely to be incurred in the first year or so after they take on the management of the development. These costs are likely to increase in line with inflation and the Managing Agent will keep you informed on an annual basis of the likely costs for the following Estate Management Charge year. The estimate of the total annual costs of the Estate Services, calculated on [JULY 2024] is set out below:
**The charges here are an example of how the costs should be laid out** £
External Ground Maintenance: Maintenance of all POS areas –minimum of 18 visits per annum.
Hedge Maintenance: Cutting of hedges within management areas.
Tree Works: Tree maintenance and inspections.
Tree Survey: Trim Trail inspections & maintenance.
Responsive Repairs: Sundry repairs, waste removal, fly tipping, repairs to trim trail.
KPS Maintenance Operatives: Monthly visit to undertake H&S inspection of site to include any paths, trim trails, street furniture.
Company Secretary fee for RMC: Annual Company secretarial fee for RMC.
Public Liability Insurance: Public Liability insurance on POS areas.
Directors & Officers Insurance: Directors and officers insurance.
Sinking Fund / Reserve Fund: Future capital expenditure to hard surfaces/horticultural planting/tree replacement and street furniture.
Management Fee:
VAT on Management Fee: VAT calculated at 20%
Number of Properties
Amount payable per property for the Estate Management Charge
Other Costs
£6,000.00
£1,000.00
£500.00
£400.00
£500.00
400.00
£750.00
£800.00
£200.00
£700.00
£5,560.00
£1,112.00
Total £17,922.00
Total PD units contributing to costs = [139]
[£129.00] per annum
Initial Contribution of £100 will be taken on completion of each plot.
A document fee of £150.00 is payable for producing the legal documentation pack and drafting the final Transfer or Lease. This amount is detailed on the Reservation Form and will be included on the completion statement.
Event Fees (additional costs on a re-sale or remortgage of the Property)
It is usual for a Management Company to charge a fee for providing a pack of up to date information to facilitate any re-sale or remortgage of a property. The pack would be requested as part of the legal conveyancing process.
The cost of these packs vary between Managing Agents and can also depend on whether a pack is requested for an onward sale or just a re-mortgage.
Typical fees currently range between £200.00 and £500.00 depending on the age of the development and the Managing Agent involved and should be expected to increase annually in line with RPI.
WHAT ARE THE ESTATE MANAGEMENT CHARGES FOR?
HOW AND WHEN WILL THE ESTATE MANAGEMENT CHARGES BE INVOICED?
The Estate Management Charges cover the cost of the maintenance and upkeep of the communal managed areas on a development and can include:
Landscaped areas
Tree works
[Shared driveways (if not adoptable)]
[Footpaths]
[Cycle paths]
[Play area]
[Sustainable drainage infrastructure, or surface water attenuation measures such as balancing ponds, swales or storm water drainage tanks]
[Retaining features]
[Drainage pumping station]
[Electricity costs]
[Public liability insurance]
[A sinking fund for future replacement or repair costs]
The managing agents fees and costs associated with the administration of the management company, such as accountant’s costs, Companies House fees and health and safety risk assessments.
These are known as the Estate Services. The scope of the Estate Services can change over the lifetime of a development (for example if services become unnecessary or outdated, or new services are required).
The size of the Estate may also change over the lifetime of a development, or after the development has been completed, for example if additional land is purchased by the developer and added into the Estate, or if the size of the Estate is reduced.
The Managing Agent will issue formal Estate Management Charge invoices to you. They will collect this usually in either quarterly or six-monthly installments. The Estate Management Charge will be collected in advance, so that there is money available in order to pay for the services provided.
On a larger development, once certain elements of the Estate communal areas are physically available on the development, the developer may elect to undertake the Estate Services and will then issue the Estate Management Charge invoices until such time as the Managing Agent takes over the day-to-day Estate management functions.
WHAT IS A SINKING FUND?
WHAT SHOULD I DO IF I HAVE ANY OTHER QUESTIONS REGARDNG THE ESTATE MANAGEMENT CHARGE?
A “sinking fund” or “reserve fund” allows the Managing Agent to build up a fund to pay for future larger scale works. The sinking fund contribution will be collected as part of the Estate Management Charge.
Full details relating to the Estate Management Charge are set out in the legal documentation pack which will be sent to your solicitor who will be able to assist with any queries you may have regarding the charges.
ESTIMATED COSTS FOR MAINTAINING THE PROPERTY
Gas and Electricity
Heating
Solar PV Installation
EV Charger (EVSE)
An estimate of the average annual and monthly costs according to home size can be found here: https://www.britishgas.co.uk/energy/guides/averagebill.html
To protect the warranty cover, all boilers and un-vented cylinders will require an annual service, costing around £100 for each.
Servicing and maintenance contracts are available from the boiler manufacturer, utility companies, home insurers and other providers. In some instances it may be possible to spread these costs in smaller monthly payments.
The PV system has no moving parts so, require no servicing and other than an occasional clean are relatively maintenance free. Homeowners should visually check that their panels are not suffering from a high build-up of atmospheric dirt or bird droppings. If dirty, they should be cleaned. As this would involve working at height it is recommend that this be undertaken by a specialist PV panel cleaning company or alternatively many window cleaners also offer this service. Depending upon the size and location of the array typical costs are £60 to £120. The inverter will need to be replaced during years 5 to 10. Depending on the size of the system typical specialist contractor costs will be £800 - £1,200.
The Smart Export Guarantee (SEG): https://www.ofgem.gov.uk/environmental-and-socialschemes/smart-export-guarantee-seg/generators
Any solar generated electricity which is not used in the home immediately will usually feed back to the grid (export). As you have a smart meter and generate solar electricity, then you can sign up to an SEG tariff with your chosen electricity supplier to be paid for any solar electricity that is exported to the grid.
Your EV Charger comes with a 3-year warranty but should give around 10 years of use.
Waste Water Heat Recovery System (WWHRS)
Appliances
Rendered Property
The Homeowner should regularly examine all accessible EVSE components for wear and tear. Cleaning should be carried out by way of a moist towel and mild detergent. All EVSE components and cables must be inspected and tested annually by a qualified electrician who will issue a safety certificate of compliance. Firmware updates will also be made where required. Regular maintenance also minimises the risk of faults and the need for unplanned repairs.
Servicing and maintenance contracts are available from specialist EV maintenance providers or suitably experienced electrical companies, contracts, typically costing £100.
In normal circumstances there is no planned maintenance for WWHRS due to the flow rate of the shower not allowing any residue to build up, therefore, a life expectancy in line with the property’s plumbing network should be expected.
Integrated and free-standing appliances carry a two-year warranty. Appliance manufacturers and others offer extended warranty and breakdown cover for up to 10years, typically costing £6 to £10 per appliance per month.
The through colour render carries a ten-year material warrant. It requires little or no maintenance. However, it will benefit from periodic pressure washing to remove accumulated atmospheric dirt. Typically, costs are £80 for part rendered and £150 for a fully rendered property.
Brick Brickwork requires little or no maintenance so planned maintenance is not relevant. However, it will benefit from periodic pressure washing to remove accumulated atmospheric dirt. Typically, costs are £150. Also, rain splashes at low level can dirty masonry. In this instance it may be necessary to apply a weak acid cleaner prior to the pressure washing to restore the colour of the individual bricks. Coupled to the pressure washing, typically, costs are £200.
Stone Natural Stone masonry requires little, or no maintenance so planned maintenance is not relevant. However, it will benefit from a periodic pressure washing to remove accumulated atmospheric dirt. Also, rain splashes at low level can dirty masonry plinths and stonework. In this instance it may be necessary to apply a weak acid cleaner prior to the pressure washing to restore the colour of the individual bricks. Coupled to the pressure washing, a specialist stonework cleaning typically, costs are £200 to £300.
Block Paving
Periodic washing with coarse bristle broom and paver cleaner to remove accumulated atmospheric dirt, weeds and moss. Assuming DIY, materials cost ranges from £20-30 dependent on paved area. Resealing every 3-5 years is good practice to maintain quality. Assuming DIY, materials typically cost £20-30 dependent on paved area.
Timber Fencing
Garden Landscaping, e.g. Hedges, Trees, Lawns
Homeowners will need to carry out basic maintenance to make sure it both look fresh and lasts.
In year-1 cleaning it with a fence cleaner, is recommended. Assuming DIY, the material cost should be around £10. Every two years thereafter, it is recommended that the fences should be re-cleaned then a full coat of stain is applied. Assuming DIY, the material cost should be around £20.
Fence cleaner and stains are readily available from all DIY warehouses.
Where fungal infection or diseased wood is observed then to prevent the spread of further infection, the affected timber should always be removed. It should be noted that if the homeowners’ choses to employ a painting contractor, the above costs will be significantly higher.
General maintenance will be required to trim hedges and cut grass every 1-2 weeks between Spring and Autumn. Trees may require annual maintenance.
Other Insert any additional items that may incur an annual cost
Ground Rent (Leasehold Property only)
N/A