There are few things as important as the place you call home. We’re proud to care for your homes, and so we wanted to share with you what we do as your property manager. 

The Property Management Explained series 

We’ve created ‘Property Management Explained’, a series of videos to help you understand how we look after the communal areas you share with your neighbours. 

In our first topic, we want to tell you about how we take care of your home. Watch the video below to find out more. 

We’re FirstPort, your property management company 

Our job is to keep the areas you share with your neighbours safe, clean, comfortable and in great condition, which helps to protect the value of your property too. 

We’ve been doing this for more than 40 years and our property management teams, whether visiting or based at your development, are here to go the extra mile to make sure you and your neighbours can sit back, relax and enjoy your homes. 

We take the chores off your hands 

We make sure your communal areas are looked after and kept clean and tidy. From replacing light bulbs in the corridors to making sure the gardens are planted and watered, we handle all the day-to-day maintenance around your property. 

We take care of the bigger tasks too 

We handle the everyday jobs, but we also make sure the big repairs get sorted too. If the lifts need refurbishing or replacing, a storm has damaged the roof, or the building needs a fresh coat of paint, we’ll get it sorted.  

That means you don’t need to worry about finding the best person for the job, getting multiple quotes, or figuring out how to split the bill with your neighbours. We organise it all for you. 

We look to solve problems before they cause you any trouble. 

Our Property Managers are always on the lookout for things that need improving when they’re at your development – they want to try and spot things that need fixing before you even notice them.  

But if something’s not quite right, just let us know and we’ll be around to sort it as soon as we can. 

We’ve got a network of approved experts to help you 

Usually, bigger jobs need specialists to carry them out. So, we’ve brought together a network of experts, each approved by us with the right credentials to do the job safely and professionally.  

So, if a tree is threatening the building’s foundations or there’s a technical problem with the lift, one of our Property or Development Managers will get the ball rolling, and make sure the right specialist for the job is there to fix it. 

If there’s an emergency, we’ll do all we can to help you 

If something goes wrong, we do everything we can to get the problem sorted, and to keep you comfortable while we’re sorting it. 

We bring people together 

We don’t just look after the bricks and mortar; our on-site teams help to build communities too. You can get involved as much or as little as you like.  

This might just mean our Property or Development Manager will encourage you and your neighbours to participate in the decisions that need to be made about your home, like which colour we should paint the walls in the hallway.  

And where we have on-site teams, they might organise activities like fish & chip supper on a Friday or a garden party in the summer for you to enjoy being part of your community. 

We’re all Property Managers 

Our Property Managers may be the ones on the ground, but they are supported by specialist support teams, including Health and Safety, Accounting, Surveying, Human Resources and in-house legal expertise.  

Whether they’re taking your calls at head office or looking after our IT, everyone at FirstPort is a Property Manager – no matter what team they’re in, our priority is looking after your home. 

We’re always looking for ways to make things better for you so do get in touch.

As we see more resident involvement in the management of developments, we are beginning to move away from the traditional two-party (freeholder and leaseholder) set-up. To help make things clearer, we’ve outlined below the different parties that may be involved in the lease. 

Freeholder

The owner of the building and the land it sits on. These can vary from large portfolio freeholders to independent private landlords, to companies owned by the residents who have acquired the freehold from the original developer or through a statutory process such as enfranchisement or the right of first refusal.  

Residents’ management company (RMC) 

A limited company formed to protect the interests of homeowners and manage the day-to-day running of a residential building or estate, usually by appointing a managing agent. RMCs are set up by the original developer of the building or estate and following construction. All homeowners are members of the RMC. Following completion of construction, control of the RMC is transferred to the homeowner directors who are appointed by members of the RMC. 

Right to manage (RTM) company 

A limited company established to allow leaseholders to take over the management of their building. 

Developer

The company or companies building a new home or series of homes. The developer often appoints a managing agent at the pre-build stage of a scheme, working in partnership to agree on a long-term management strategy.  Developers retain control of the freehold properties until completion of a phase or all phases of a development, at which point they may retain that title, or pass it to another entity. Managing agents usually play a role in acting in liaison between them and residents through this transition.  

Enfranchisement company

Similar to the right to manage (RTM) process, there is a level of eligibility required before leaseholders can organise enfranchisement. Once the company is established it performed the role of both freeholder and leaseholder and the statutory process completed it becomes the freeholder and performs the freeholder’s role as set out in the leases. Practically, this is similar to a commonhold arrangement.  

Named manager

An entity appointed in the lease or transfer appointed to perform the management obligations. The named manager is appointed by the original developer and is a party to the lease or transfer document. Named Managers have contractual obligations to the residents and to the freeholder. RMCs are one type of named manager. Named managers may also be independent companies or professional managing agents such as FirstPort.  

In cases where resident-management is in place, a “named manager” is typically in place to avoid the risk of management responsibilities being neglected. 

Social landlords or registered providers of social housing 

Responsible for the affordable housing on a given site. They typically manage their sections themselves or appoint managing agents. In many cases, this differs from the agent chosen to manage the rest of the scheme. The social landlord may be a housing association or the local authority.  

As the property manager, it’s our job at FirstPort to balance the requirements – both legal and personal – of all parties to the agreement to ensure a seamless management experience.    

An example demonstrating the complexity of a typical lease arrangement on a new development over time can be found below. 

We’re always looking for ways to make things better for you so do get in touch.

We want to make sure you know exactly where and how your money is spent taking care of your home.

Having a Property Manager looking after the areas you share with your neighbours means you can sit back, relax and enjoy your home. We understand how important it is to have visibility of how your service charge is spent. 

The Property Management Explained Series 

We’ve created ‘Property Management Explained’, a series of videos to help you understand how we look after the communal areas you share with your neighbours. 

In our second topic, we want to clarify what your service charge pays for. Watch the video below to find out more. 

Why do I need to pay a service charge? 

Our job is to keep the areas you share with your neighbours safe, clean, comfortable and in great condition, which helps protect the value of your property. 

To do this, we require you and your neighbours to pay an annual service charge. Usually this is paid in advance either once or twice a year, but this depends on what your home’s lease or transfer document says. 

How is my service charge calculated? 

While every development we look after is different, our approach is always the same. First, we identify all the jobs we think will need to be carried out during the year to ensure we’re able to keep your development safe and well maintained.  

We’ll then calculate what the cost of completing all this work will be, before finally converting it into a service charge amount. This figure is then shared with you in your annual cost estimate. 

What does my service charge pay for? 

Your service charge allows us to keep your communal windows clean, lawns tidy and all the plants and flowers cared for.  

It’s also used for all the lighting, heating and cleaning of your development’s communal areas both indoors and out. And that’s just for starters. 

We also maintain the mechanical equipment that keeps your development running smoothly including lift maintenance, water pumps, security gates, communal heating boilers and fire equipment. 

Plus we organise health, safety and fire risk assessments to make sure your building is safe and sound.  

Finally, your service charge covers general maintenance and repairs, the insurance cover for your building if you’re a leaseholder, and the salary cost of any on-site staff. 

What is the reserve fund for? 

Occasionally, some longer-term maintenance or bigger projects may need to happen.  

This could be anything from replacing worn carpets, redecorating the outside of your building or replacing a lift.  

To make sure this can be budgeted for, we have a reserve fund in place.  

This fund is created from the additional contributions we ask for as part of your service charge. 

What happens if more or less upkeep is required? 

Sometimes, something unexpected happens that wasn’t planned for in the cost estimate, like a tree needs cutting down or there’s a leak in the roof that needs repairing.  

If we’ve spent less than planned, we give what’s left over back to you. If the costs were more than budgeted, then you might have to pay a bit extra at the end of the service year.

We’ll always be transparent about what’s been spent throughout the year, and will send you an itemised set of accounts for the annual spend at your development so you can see exactly what’s been done and how much it all cost. 

Does my service charge cover your management fees? 

When you pay your service charge, a small portion of the money goes towards our management fee. This covers the cost of us carrying out site inspections, arranging maintenance and repair work, as well as negotiating competitive rates with suppliers.

We also take care of a wide range of regulatory and compliance activities to make sure the communal areas you share with your neighbours are safe.

And last, but certainly not least, it covers the cost of the customer service and other support teams helping behind the scenes to support you and your neighbours on a daily basis.

Click here for more information about the external factors that affect your service charge.  

Where does all the money sit? 

When you and your neighbours pay your service charges, the money goes into your development’s very own interest-bearing bank account, which we set up and manage for you.  

The money you pay into this account – and the interest it earns – can only be spent on your development. 

We’re always looking for ways to make things better for you. So if you have any suggestions, or need our help with anything at all, get in touch. 

We know how important it is for you to have an input in the way your development is cared for, and we believe in working closely with RMCs to ensure their developments thrive today and prosper tomorrow. 

The Property Management Explained Series 

We’ve created ‘Property Management Explained’, a series of videos to help you understand what we do as a Property Management. 

In our third topic, we look at our specific role in supporting those appointed to look after their development. From explaining the purpose of Residents’ Management Companies, to how we support RMC Directors daily. Watch the video below to find out more. 

What is a managed development? 

Privately managed developments are those where the community is often managed by a Property Manager (sometimes called a managing agent), such as us.  

Our role is to keep all the communal areas (e.g. gardens and landscaped areas) and shared spaces (e.g. lifts and hallways) clean, safe and in great condition to help protect the value of the development.  

To enable this to happen, all the owners of the properties on the development share the costs associated with maintaining these communal areas. 

What is an RMC? 

A Residents’ Management Company (RMC) is often set up to support the interests of those who share private communal areas with their neighbours and to give residents more say in how their development is cared for.  

This is usually set up by the original developer of the building or estate and consists of equal members or shareholders, who are typically homeowners in the development. 

What is an RMC responsible for? 

The management and maintenance of the building and common areas, as well as compliance with the obligations of the deeds or lease for each home, is the responsibility of the RMC.  

They’ll also look after a range of statutory requirements, for example following changes in health and safety legislation.  

The Directors of the RMC, who are volunteers and appointed by the homeowners at the development, decide how best to achieve this, either by self-managing or, in most cases, by appointing a professional Property Manager, such as us, to do it for them. 

Here’s a quick overview of who’s responsible for maintaining the key areas of a typical development:

Why become a Resident Director 

In our experience, residents choose to take on the important responsibility of becoming a Director because it gives them the chance to directly support their neighbours and community.  

They’ll also have control over the day-to-day management and maintenance of their development, enabling them to use skills from their own careers for the benefit of the entire community. 

How do Directors support their community? 

We believe behind every successful RMC are passionate Directors who understand the importance of collaboration. They will: 

• Work with their development’s professional Property Manager to make sure the development is well cared for and safe now, as well as putting future plans in place too. 
• Determine how service charges are spent to look after the development and work with the managing agent to plan ahead for larger projects and major works.
• Provide clear instructions to the managing agent for all items that may affect the smooth running of the development.
• Represent the voice of the residents to make decisions about how the community is managed. 

Do Directors have any legal responsibilities? 

As a Director of a limited company, each RMC Director must legally: 

• Make decisions for the benefit of the RMC and its leaseholder members, never for the individual. 
• Maintain statutory company records, report any changes and ensure all mandatory returns are filed with Companies House and HMRC.
• Ensure the RMC’s service charge accounts present an honest and fair picture of the RMC’s finances.
• Ensure compliance with all relevant legislation, including health and safety and fire risk.
• Arrange the necessary insurance cover to help them fulfil their responsibilities as a Director, to ensure both they and the development are protected. 

How does an RMC work with a Property Manager? 

Appointing a professional Property Manager, such as ourselves, can help the RMC successfully look after their development. 

It’s a complex role that requires knowledge of landlord and tenant law, building construction, health and safety regulations, basic accounting and more.  

That’s why many RMCs appoint a Property Manager, as they can help the Directors understand and meet these requirements. 

Here’s a quick overview of our role within a typical homeowner-led development:

At FirstPort, we have over 40 years’ experience looking after communal developments of every shape and size, so we know what it takes to get things right.  

With over 1,700 resident managed developments in our care, we understand the responsibilities and complexities that property management creates for RMC Directors. 

Appointing us provides the peace of mind that all the admin for the development is looked after, and you can get value for money on large spends.

Working with you we’ll: 

• Guide the Directors through the legal and financial responsibilities of managing a development and navigate any legislative changes. 
• Highlight health and safety, such as fire risk assessment compliance required by law.
• Assign the Directors a Property Manager who will support with the day-to-day running and maintenance of your development (everything from lift repairs and supervising contractors to providing regular updates).
• Offer or recommend a provider of formal company secretarial services to ensure the Directors meet their legal responsibilities as a company. 

How can you become a Director? 

Several ways exist, but the simplest is to express an interest to your Property Manager who can talk you through what it means and how you can get involved at your development. 

If you own a home on a new build development, there’s often a resident committee set up in the early stages, which is also a great way to understand how the development is run and what’s involved.

Already RMC Directors in place at your development? Don’t worry, speak to your Property Manager or the existing Directors about getting involved when a future position opens up. 

Whether it’s your first time selecting a managing agent, or you are looking to switch providers, we can help. To find out more, get in touch. 

Building insurance premiums across residential property have risen in recent years. This is due to a combination of factors, which include general inflation, heightened building safety concerns post Grenfell and climate risk. Overall, the pool of insurers with an appetite to cover residential buildings has reduced and this has resulted in rising premiums.

Nonetheless, there are still choices to be made. Your building owner (freeholder) is legally responsible for ensuring the building is insured.  They usually ask the managing agent (e.g. FirstPort) to handle this responsibility on their behalf.   

The policy is typically placed by brokers which advise clients on their options based on a range of factors including: 

• Level of coverage required for the property, focusing on those areas where claims are most likely to be made  
• Insurer appetite and capacity for buildings of differing risk profiles  
• The level of claims being experienced, reflecting both the local and national market 

In some cases, FirstPort uses Knight Square Insurance (KSI) as a broker. KSI is run independently from FirstPort but is part of the wider group of companies that FirstPort itself belongs to. It is a specialist broker in the residential market, regulated by the Financial Conduct Authority (FCA), which allows it to secure competitive products. Policies are placed with top-rated insurers to ensure a level of cover that is proportionate to risk.  

KSI and all the brokers we work with will typically receive commission from the policy provider, as is normal practice in the insurance industry. KSI’s rate of commission will vary depending on the policy but is ordinarily between 5.5% and 16% of the overall premium. These rates have not increased for many years and in some cases they have fallen. 

KSI does not: 

• Charge fees for insurance, except in cases where it is not receiving commission from the policy provider  
• Charge for document production or administration for amendments throughout the lifecycle of the policy  
• FirstPort does not receive any commission from Knight Square or any other broker for referring work

While premiums across the industry have remained stubbornly high, there are indications that this may soften through 2025. Greater risk certainty in areas of regulation, including the building safety regime, should support lower premiums.  

If you would like to know more about Residential Management Companies, you can find more information about the way we work with them on this page.

We will be adding more information soon about our residents’ associations.

This only applies for leaseholders in England and Wales, but not to Scotland.

In England and Wales there will be no new ground rent charges on most new residential leases from 30th June 2022. This will impact leaseholders buying new properties or formally extending their existing leases.

‘Major works’ is the term we use to describe large-scale or substantial building projects that are carried out to keep your development looking good and working correctly. This work is carried out as part of an ongoing maintenance programme.

These projects are planned in advance and include things like:

• Maintaining the main structure of the building. For example, looking after the roof and external walls.
• Maintaining and upgrading items within the building. For example, replacing lifts and upgrading fire alarms.
• Maintaining the decoration of the building. For example, painting the communal areas and protecting the outside of the building.
• Maintaining the building’s systems. For example, maintaining the lifts and upgrading old communal heating systems.

Occasionally, major work also includes emergency work that cannot be planned for, such as repairing a major roof leak.

2. How are major works paid for?

Each year, homeowners pay into a Reserve Fund (where the lease allows for this), through their service charge. This fund is money that is set aside, year-by-year, to pay for longer-term maintenance for the development. We use this money to help pay for the development’s major works projects.

3. What if the reserve fund doesn’t cover the cost of the work?

If the development’s reserve fund won’t cover the cost of the work, we write to homeowners requesting an additional contribution. We do this as soon as we know what the additional costs are.

Major works projects vary in cost, but we will always make sure you know how much we are spending. If any homeowner needs to contribute more than £250 (which is usually the case), we start a consultation process with all homeowners. We are required to do this by law, in the case of leasehold, but also do so as a matter of good practice for freehold properties.

We will make sure everyone knows what is happening, when, and how much it will cost.

4. How do we communicate with you on major works projects?

To ensure that the works run smoothly and that we comply with legislation and best practice, we use a specific consultation and communication process. This means that you will know what is happening and what the next steps are.

This is called a ‘Section 20’ consultation. It is drawn from Section 20 of the Landlord & Tenant Act 1985. Because the Act lays down what we say, the language we use in the communications we send can often seem very formal and legal.

The consultation process has five main steps:

1. Notice of Intention (First Notice)
2. Statement and Notice of Estimates (Second Notice)
3. Notification of Reasons
4. Contractor Contact
5. Snagging

1. Notice of Intention

The First Notice you’ll receive explains the works we propose to undertake, and how you can find out more. You can usually find a full description of the works through the ‘My Account’ section of our website too. For a Retirement Property Services customer, your Development Manager will have full details in their major works specification of any work that is being undertaken, please contact your Development Manager for more details. At this stage you can ask any questions, make comments and, if you wish, nominate a contractor.

– What happens next?
After the first notice, we make a record of all your comments and ask a range of contractors to send us estimates for the work.

2. Statement and Notice of Estimates

At this stage, we will send you the estimates we’ve received from contractors. We will also send you a summary of the comments we’ve had from other homeowners together with our responses. If we receive an estimate from a contractor nominated by a home owner, this will also be included.
We will explain where you can view all the contractor estimates we received, and invite you to make comments on them. We will consider all observations received, before making a decision of which contractor to appoint. We always take note of your observations before making a decision.

3. Notification of Reasons

If we choose a contractor who isn’t the cheapest or is a selection made by a recognised Residents’ Association nominee, we will send you a letter explaining why. We will also write to let you know when the contractors will be starting the work.

4. Contractor contact

During major works, contractors will often need to get in touch with you to arrange access. We ask the appointed contractor to give you as much notice as possible and minimise any disruption. During this stage of the process, please let us know if you have any concerns or issues regarding access, or the work being carried out.

5. Snagging

Once the works have been completed, we will check where possible that the work has been completed correctly. This stage is called ‘snagging’. Payment for the work is retained until satisfactory completion is achieved.

During this stage we will write to you again, asking for your comments and if there are any problems we need to fix. We will pass any comments or problems on to the contractor and make sure they rectify any issues. We hope this gives you an overview of the process of our major works.

You may also want to download this information “A guide to major works at your development” as a handy guide.

Leasehold

Leasehold properties are mainly apartments that have an agreement in place with the Freeholder, which allows the occupant to reside at the property for an extended period of time. Leaseholders will contribute to the service charge for the upkeep of the communal areas accessible and may pay a ground rent charge for the land on which the property is located. In England and Wales, there will be no new ground rent charges on most new residential leases from 30th June 2022. This will impact leaseholders buying new properties or formally extending their existing leases.

Freehold

A freehold property on a development is usually a house where the owner owns the property and the land it is built on. They have the right to live at the property for as long as they please. Freehold properties pay a service charge for the communal upkeep of the estate but do not pay ground rent as they own the land in which the property is located.

Commonhold

A commonhold property refers to an apartment which does not have a lease and the owner has freehold over the property. The block will have a ‘commonhold association’ which each owner is entitled to be a part of and they are responsible for making sure the communal areas are maintained by all who own a property within the block.  A commonhold property will still pay a service charge for the estate to be maintained by the Freeholder/management company.

However, more and more estates with newly built homes are being privately managed by property management companies instead of local councils, with the property management company appointed to make sure the shared areas of the estate are safe, clean, and comfortable. The solicitor should make all potential house buyers aware of this arrangement as part of the sales process.

Why is there a need for a property management company to manage a private estate of freehold houses?

When a housing estate is built, it may not be fully adopted by the council and the developer will then appoint a property management company, such as FirstPort, through a tender process.

The developer and the council will have agreed during the planning process which communal spaces, if any, will be adopted by the council, and which will not.

The property management company will be appointed to oversee the privately-owned shared areas of a development that are not adopted by the council. The shared spaces they manage could include – but are not limited to – the roads, drainage, communal gardens, and lighting.

The costs are managed in the form of a service charge or estate charge. This will fund the essential work the property management company does to make sure your estate is in the best possible condition now, and in the future.

What will the service charge cover?

The service charge will typically cover the shared areas of an estate and an admin and management fee which covers the cost of our communications, development management and any regulatory compliance. The rest of the service charge covers areas such as grounds maintenance, insurance, pest control, keeping the public areas clean and free of litter, sewage and drainage, streetlamp maintenance, landscaping, playground upkeep, health and safety and general repairs.

We understand the importance of providing value for money and believe our transparent fees are the right way to do business for our customers. The money paid via the service charge is only ever used to make sure the estate is well looked after. We don’t make any profit on the fees charged by the contractors we work with – every penny goes directly to them so they can fully focus on providing you and your neighbours the best service possible.

How is the service charge calculated?

The service charge is carefully budgeted every year to cover the work there is to do and the expected costs of maintenance. Typically, owners of freehold houses will pay yearly for a property management company to maintain the estate.

All residents pay towards the costs in general, even if the works that are carried out are in another part of the estate to which they live. For instance, you might live in ‘A’ Road but the works are completed in ‘B’ Close. In this case, residents of ‘A’ Road still help contribute towards the works in ‘B’ Close – but equally the opposite will apply.

In our experience, this evens out across a maintenance year so it’s a fair way to split the costs. It also means you never have to worry about finding the right supplier or deciding how to split the bill with the neighbours – as we do that for you.

There are sometimes financial considerations that are out of the property management company’s control, which contribute to an increase in charges. For instance, insurance and electricity costs have gone up ahead of inflation and are set externally. This will result in an increased amount for the estate charge.

The precise way that you contribute towards estate service charges is set out in your ‘Transfer Document’ – the legal paperwork for the purchase of your freehold property.

What are the benefits of having a property management company looking after your estate?

There are many benefits to having a property management company look after the shared area of your estate. You will have a dedicated Estates Manager who will work as a point of contact for any issues or requests. They will be proactive too, identifying anything that needs to be resolved and overseeing any contractors we may need to work with to ensure a responsive and high-quality service.

Dave Carter, who is a Regional Manager for FirstPort Estates, said:

“I thoroughly enjoy the interaction with customers and resolving any problems they raise. Our services ensure that all sites are well maintained to a high standard to guarantee great ‘curb appeal’ for our homeowners.”

Can a Resident Management Company be set up on an estate?

Residents will have the option to set up a Resident Management Company (RMC), so they have more control over where they live. An RMC is often set up to support the interests of those who share private communal areas with their neighbours and to give residents more say in how their development is cared for. This is usually set up by the original developer of the building or estate and consists of equal members or shareholders, who are typically homeowners in the development.

FirstPort Regional Manager Karen Lacey explained:

“We want to make sure that every customer feels they can have their voice heard and that any issues can be addressed quickly. 

“I manage a team of Estate Managers who work with RMCs on many developments within my region. It’s great to be able to work with the Resident Directors to keep our managed estates looking great.

“The Estate Managers will hold quarterly RMC meetings and attend drop-in meetings with residents. That personal service is so important to us, and it helps us to easily address and resolve any questions from customers.”

What does an Estate Manager do day-to-day?

Sam Jones, an Estate Manager looking after sites across Devon, Cornwall and Somerset, says every day in the job is different.

He explains:

“My role is really varied. I always start my day by looking at any customer communication that’s come to me directly or that’s been logged via customer services. Customers always come first!”

“If I get a concern or query from a customer, then I will pick up the phone, so they know they have been listened to, and explain the actions I will take to help.”

“I’ll then typically spend two to three days a week visiting the estates and speaking with residents. That’s the best part of the job for me – I love being out and about and talking to customers.”

Nicole Hughes is an Estates Manager across the North West region. She says the most important part of her job is communication, and FirstPort’s new technology platform is helping to improve this.

She says:

“The new technology FirstPort is currently rolling out is already helping to resolve issues faster and helping us to update residents in real-time.

“I carry out site inspections every 8-12 weeks and residents are able to see what I have noted and the actions I will take instantly. I’m also, of course, always available to speak to customers in person when I am on-site as nothing beats being able to chat through something with a real person.”