Retirement flats losing tens of thousands £££

Comments · 40

• AT

  @atrociousliar3314 · 4 months ago

  Renting a 3 bed house in the south east for £1500/month is less than he is paying. That is not a service charge, that is extortion.

  19

• ST

  @stumac869 · 4 months ago

  Service charges are destroying the value of many flats since it's the equivalent of taking on a second mortgage that gets more expensive every year for life, except you often get little in return. Buying a flat is now an unlimited financial liability.

  11

• MI

  @michaelfong6941 · 4 months ago

  Private equity industry buys these businesses with printed money, asset strips them and loads them with debt. Then prices have to rise when interest goes up. Same with Claire's accessories

  11

• EX

  @exploringsuffolk · 4 months ago

  I know of a few elderly people who go on cruises almost permanently as it's actually cheaper than care homes and now it seems cheaper than retirement flats

  16

• AT

  @atrociousliar3314 · 4 months ago

  How could he possibly receive £20,000 of services a year?

  9

• TO

  @tooladdict7463 · 4 months ago

  Service charge is low when you purchase then massively increase afterwards surprising

  9

• CL

  @claveh5790 · 4 months ago

  I have always considered these types of properties to be a total scam.  I once resurrected my Great Uncle and went to have a viewing.....I was told that "residents are always consulted over increased service charges", people have absolutely no say as they have invested both personally and in monetary terms, what are they to say "I'm not happy that this is again such an increase, I'm walking away"?!  Total scammers.  Government raised this some years back but then it was just swept under the carpet, it's just a money printing machine and I feel terribly sorry for anyone who has bought one or who is lumbered with inheriting one. 🤬 XXX

  7

• EX

  @exploringsuffolk · 4 months ago

  You could rent a large house with that service charge he'd be better just walking away

  10

• AS

  @asmallsectionoflife · 4 months ago

  would not go near a flat with a barge pole right now, these service charge companies are sharks.

  5

• SQ

  @squareeyes3676 · 4 months ago (edited)

  Managed to get my folks out of a well known developer’s ‘rent with option to buy property’ (sheltered/assisted living). For me COVID meant I could convince them. The staff didn’t wear masks in the pandemic but all the facilities were closed but the service charge remained high and higher than had been explained when siging up. We couldn’t end the rental agreement earlier than the we would have liked but we didn’t lose money compared to purchasing which was part of the original plan. These kinds of developments need serious government review. They appear to be nothing but a scam aimed at the elderly and any inheritance they believe they will leave behind. What happened to the U.K.?

  4

• SP

  @Sparkles12340 · 4 months ago (edited)

  My mum rented a leasehold retirement flat for a few years, she was very glad she never brought one, as talking to the owners during stormy meetings during which it was clear they were being tapped up for endless  maintenance jobs which were extortionate. Mum could just give a months notice to leave, unlike the owners who were stuck with a headache when selling on.

  6

• PI

  @Piemea · 4 months ago

  The rules on the over 60s place should be upfront when purchasing. How did she not know that she wouldn't be able to live there being under the age threshold? Wouldn't recommend these or shared ownership, too many rules and caveats.

  4