UK
Service charge
A service charge is the contribution a leaseholder or estate resident pays towards the upkeep of the building or the shared grounds. It is not the ground rent, and it is not the council tax.
Also called Maintenance charge.
Quote a figure you have
Use the last service-charge year the vendor can show, and say which year it is. A budget for the coming year can be higher. If a large works bill is being discussed, that is part of the story. Do not write “low service charge” with no number.
Ground rent is separate
Ground rent is paid to the freeholder under the lease. Service charge is paid for services. Buyers and their lenders look at both. US listings would call a similar building cost HOA dues. Name the charge in the words of the country you are writing for.
Questions
What does Service charge mean?
A service charge is the contribution a leaseholder or estate resident pays towards the upkeep of the building or the shared grounds. It is not the ground rent, and it is not the council tax.
General information for agency staff, not legal advice. Rules and local practice change. Check the official source before you rely on a definition in a client letter.