Selling ex local authority flat - outstanding maintanence

Ardvaark

Hi, finally the local authorities have got our ex council flat up to standard for us to be able to sell it. The thing is there is an outstanding maintanence scheme to be implemented. This scheme has been promised for over 5 years and the costs have gone up and up. It now stands at £17,200 this is for renewal of windows, roof renewal; 'estate works' ; scaffold and 'preliminaries'. It seems we have no choice as to whether this is done, even though the roof has just undergone major repair. So how do we go about selling the flat with this outstanding? If we take this amount off the asking price, do we do it at the start or wait for it to be negotiated during the sale? Also can we claim this amount back from the capital gains Tax if we do take it off the price? Any advice would be much appreciated. I really need to get this ex council place off my back mainly because of the difficulty in dealing with the council.

Fire_Fox

Of course you have a say, have you not been sent formal consultation documents? If so, what did you do about them? Have you had the flat valued by a local estate agent? Are you familiar with the LEASE website and the Landlord-Tenant Act 1985?
http://www.lease-advice.org/

Ardvaark

At the time we didn't object because the roof was bad, since then out of necessity it has been worked on and is sound. also the date for the work was June 2009. That would have been fine we could have paid it and then sold the flat with it's new windows and roof for a price that reflected that expense. Now they say (and only say) January 2010 so we have to sell it with this outstanding work cost which if we knock that off the price we lose completely because the new buyer benefits from the work to be done.

thanks for the lease site info by the way

Fire_Fox

So is the work that is proposed for next year the same as was proposed intially, presumably not as the roof has been fixed since? When you say the roof has been worked on out of necessity, were you consulted on this or did the council get dispensation from an LVT? What was the cost of the roof repairs already completed per flat?

Ardvaark

Been on to the lease advisory service and while we could fight this it would be a lot of hassle. Does anyone know if this amount would be deducted from the capital gains tax and if so does it come of the property value?

Fire_Fox

Ardvaark wrote: »

Been on to the lease advisory service and while we could fight this it would be a lot of hassle. Does anyone know if this amount would be deducted from the capital gains tax and if so does it come of the property value?

As I asked earlier have you had the property valued by a local estate agent? I assume you are not living in the flat if you are worrying about capital gains tax? You may also be able to argue for money back on what you have already paid out for the roof, but I can't help unless you answer my questions.

Ardvaark

haven't had an actual valuation yet but flats with exactly the same layout in the same road are going on right move for £250,000

Fire_Fox

Ardvaark wrote: »

haven't had an actual valuation yet but flats with exactly the same layout in the same road are going on right move for £250,000

You need to look at sold prices, not for sale prices. Also you will need to compare the condition of the property, both inside and externally. Get a valuation done and the estat agent will advise on what to market for, taking into consideration the work required.