Management fees explained

Management fees explained 

Johnnie Johnson Housing charges management fees that are reasonable having regard to the services provided.

The management fee is charged as one identifiable amount in the service charge budgets and accounts which are presented to leaseholders and residents.

The following duties are provided for within the management fee:

  • Opening and administering bank accounts
  • Preparing and distributing service charge budgets/estimates
  • Collecting service charges
  • Accounting for service charges prior to examination by an independent accountant
  • Providing information to auditors for the production of annual accounts
  • Collecting routine service charge arrears
  • Providing management and service charge information to residents
  • Liaising with residents’ associations
  • Providing professional indemnity insurance for the manager
  • Employing management staff (excluding scheme-based staff)
  • Inspecting the property regularly to check condition and deal with any necessary repairs
  • Periodic health and safety checks but not specialist checks and tests
  • Holding regular (at least annual) meetings with residents where service charges are paid
  • Regular visits to supervise scheme managers
  • Recruiting and training of scheme managers but not the cost of advertising or agency fees
  • Keeping records of residents and tenancy details
  • Keeping landlords advised on management policy when working as an agent
  • Preparing specifications for minor works and services
  • Providing information to advice agencies and ombudsman services.
  • Administering buildings and other insurance
  • Preparing replacement cost assessments on buildings and landlords contents for insurance purposes
  • Entering into and managing maintenance contracts
  • Carrying out consultation on management matters, major works and long term agreements
  • Drawing up and reviewing risk assessment plans
  • Preparing specifications, obtaining tenders and supervising major works
  • Fees for specialist advice in assessment of major repairs and decoration
  • Negotiating with local and statutory authorities regarding operation or amendment or improvement to communal services
  • Providing copy documents including insurance policies
  • Employing and working with advisers of a specialist nature where required
  • Recovery of unpaid service charge or ground rents or non-compliance with leases, including instructing solicitors.