Management Company: MUD Fees

TelePaul

Hi folks, sale agreed and solicitor says my management company are asking for EUR 369 for MUD processing. Just wanted to check if this was par for the course as I handed heard mention of it before. Suppose everyone gets their cut!

Brego888

Yep this is par for the course. I was quoted nearly €500 for my MUD replys recently. It's daylight robbery for what is simply a pdf 1 page file. But what can you do it has to be paid.

Sunrise_Sunset

What is MUD processing exactly?

Edgware

Sunrise_Sunset wrote: »

What is MUD processing exactly?

I am sure it is a questionnaire ( Requisition 49?) completed by the management agent which answer questions such as insurance details, sinking funds, outstanding bills, future expenditure which would impact on owners. It is an important document which should be read carefully.
However if the agency completes it once it needs very little extra work as the year goes on unless there is major development and expenditure planned.
Not that long ago you could get this for 75 euro but now 400 euro is commonplace.
Usual rip off Ireland

Sunrise_Sunset

Edgware wrote: »

I am sure it is a questionnaire ( Requisition 49?) completed by the management agent which answer questions such as insurance details, sinking funds, outstanding bills, future expenditure which would impact on owners. It is an important document which should be read carefully.
However if the agency completes it once it needs very little extra work as the year goes on unless there is major development and expenditure planned.
Not that long ago you could get this for 75 euro but now 400 euro is commonplace.
Usual rip off Ireland

So when you sell a property that has a Management Company, the Mng Co charge you?

happyfriday74

This is fairly standard. Costs can vary.

The fee above is about normal but I've seen anything up to 500 plus vat which would be excessive. Its outside the agents normal remit and there is a bit of work in it.

Depending on the content of the replies it could lead to a follow up exchange of queries from your solicitor and a lot of correspondence.

Its also a handy way of tracking who is leaving/arriving the development for the owners management company.

Important to know who is leaving to ensure they are fully paid up to date otherwise the debt will be put on the new owners account. If its a large debt the OMC may instruct the agent not to release the replies until this i paid or a legal undertaking to repay it is given by the seller which is a great way of keeping the books up to date.

Edgware

Sunrise_Sunset wrote: »

So when you sell a property that has a Management Company, the Mng Co charge you?

No. The purchaser pays because it is they want the information.

Brego888

Edgware wrote: »

No. The purchaser pays because it is they want the information.

That's not my experience. The seller pays.

Edgware

Brego888 wrote: »

That's not my experience. The seller pays.

I cant see why. The purchaser needs the information. The seller will know it fron documents given annually for the A.G.M.
Someone is being ripped off and it looks like you

TheWonderLlama

Vendor is the current owner of the property, therefore they are the only ones to whom the Management company answers to. They charge for their time in compiling the list of docs and answering the queries.
replies to queries and copies of insurance docs are not given at AGM.
Had to pay €200 for the MUD replies on a remortgage recently. Sucks.

que123

Would anyone else have indicative prices for MUD replies?

Current management company are asking for €485.85

Unless they need a cherry picker as part of the process, this seems scandalous. Do they need a solicitor to look over something? Do they need a trained accountant at the very least to explain the fees?

Or

Is this just a "selling your apartment" shake down?

Baby01032012

I charge €300+vat for mud replies on the apartments blocks I manage.

I know a lot of it is standard replies and agent should have a copy of most documentation such as constitution house rules insurance policy, agm minutes, be able to print off your service charge accounts etc. At the same time we are giving assurances on certain matters such as the solvency of the OMC, that are no major planned expenditure etc. Plus there is nothing the insurance interest on the policy, revoking and issues members certs. These are legal replies so I’m not sure how much less you expect to pay.
You can argue or choose not to pay but you won’t get your mud replies and as a result your apartment sale can’t conclude.

Jmc25

I sold my apartment recently and paid €360. Seems to be standard that the seller pays as I wasn't charged for this when I bought the apartment.

Like many things involved in buying or selling a property, it's vastly overpriced for the level of work involved but what can you do.

Baby01032012

Jmc25 wrote: »

I sold my apartment recently and paid €360. Seems to be standard that the seller pays as I wasn't charged for this when I bought the apartment.

Like many things involved in buying or selling a property, it's vastly overpriced for the level of work involved but what can you do.

Vastl over priced when you’re transacting hundreds of thousands of euro worth of property?! Yeah right!

que123

Thanks for the response.

I think the quantity of the charge is squarely related to the "MUD reply provider"s ability to block the transaction if it's not paid. Couple with that, management companies aren't that well-liked at the best of times (IMO), so they are likely very comfortable with any negativity that comes back from it.

I don't mean any of this in an offensive way, I don't think I am enough of an angel not to do the same thing if the shoe was on the other foot.

Sounds like a space that is ripe for disruption!

Jmc25

Baby01032012 wrote: »

Vastl over priced when you’re transacting hundreds of thousands of euro worth of property?! Yeah right!

I think you're correct in pointing out the fact that in most cases the person paying is involved in a property sale worth significant amounts of money. Most of the time this leads to this charge being accepted or at least not thought about in the grand scheme of things. This was certainly true in my case, especially given the thousands shelled out on estate agents and solicitors etc.

Still, given the level of work involved it's a significant amount of money to charge which I don't think can be justified by simply saying "well you're getting x amount of money by selling the apartment".

Don't get me wrong, is it any more of a rip off than the estate agent or solicitor fees, well probably not.

Claw Hammer

Edgware wrote: »

I cant see why. The purchaser needs the information. The seller will know it fron documents given annually for the A.G.M.
Someone is being ripped off and it looks like you

The purchaser won't buy without the information. The only one in a position to supply it is the vendor. The purchaser will no more pay for it than he will pay the vendors solicitor fee or the estate agents fee.

Baby01032012

Jmc25 wrote: »

I think you're correct in pointing out the fact that in most cases the person paying is involved in a property sale worth significant amounts of money. Most of the time this leads to this charge being accepted or at least not thought about in the grand scheme of things. This was certainly true in my case, especially given the thousands shelled out on estate agents and solicitors etc.

Still, given the level of work involved it's a significant amount of money to charge which I don't think can be justified by simply saying "well you're getting x amount of money by selling the apartment".

Don't get me wrong, is it any more of a rip off than the estate agent or solicitor fees, well probably not.

It’s not the level or quantity of work, it’s the assurance that the replies give. I have a case where an owner in a development I manage is going to sue the former agent for what they feel were inaccurate replies that led them to purchase which they wouldn’t if they the reply was different.