Q. How do I know what Hobdens is spending my Service Charge on?

Answer:

At the start of each financial year, a Service Charge Budget is prepared which is sent out to all owners and which sets out, line by line, how the service charge has been calculated, together with explanatory notes. The budget is an estimate of costs for the forthcoming year based on previous years expenditure for the development, current costs and planned and anticipated expenditure.

Following the end of the financial year, Service Charge Accounts, are prepared for each development, as in accordance with the lease or deed, and legislation. The Service Charge accounts detail the actual expenditure during the year and are certified by an independent Chartered Accountant, as being accurate.

When the accounts are prepared we compare what the actual costs have been to what we have billed during the year, based upon the budget, to identify any surplus or deficit. If expenditure has been lower than anticipated then there will be a surplus that will be credited back to your account; if costs have been higher there will be a deficit, and an additional charge will be payable. Either way, you will only pay your proportion of the actual costs of providing the service