Seller did not make us aware of Major Works, what to do?

dsavvy83

Hi

We have our mortgage approved everything was going well until we received the leaseholders pack, which mentions some major works due this year or 2013.

The problem is the seller would have known about it because of the Section 20 act where the management agent has to send each lessee an outline of works to be carried out.

The seller and the estate agents did not mention any of this..

We like the property but i do not think it is now worth the offer we put it knowing this.

Any advice?

go_cat

Assuming you havent exchanged revise your offer to reflect the cost

dsavvy83

go_cat wrote: »

Assuming you havent exchanged revise your offer to reflect the cost

Nope we are very careful first time buyers, we haven't exchanged anything, we do not even know the our repair cost, But we are asking the seller to send us the paper work of the repair cost, just angry that the seller did not mention this when we were there asking questions....

so you think we should re-negotiate the price?

richardw

First find out the cost of the works and when final payment would be due.

Then decide that even if the price were reduced, how you would propose to pay.

dsavvy83

richardw wrote: »

Your solicitor would've probably found out before completion?

We found it ourselves, read through every paperwork ourselves.

The only thing bothering us why didnt the seller inform us of any major works in the near future, surely he must have known, as stated in the pack all people were sent an S20 letter.

I wonder what else he is hiding..

princeofpounds

The only thing bothering us why didnt the seller inform us of any major works in the near future, surely he must have known, as stated in the pack all people were sent an S20 letter.

I wonder what else he is hiding..

Technically you have been informed now, even if through a third party. They probably didn't say anything earlier because they want to draw you as far into the process as possible before saying anything, to improve their chances of selling.

dsavvy83

I guess the next step is to find out how much we are looking to fork out for these Major Works,,, I will have to drop the price accordingly?

zzzLazyDaisy

dsavvy83 wrote: »

I guess the next step is to find out how much we are looking to fork out for these Major Works,,, I will have to drop the price accordingly?

Well, of course you don't 'have' to do anything....

But yes, it would be sensible to renegotiate the price if the cost of the works is likely to be significant. The seller can either agree or refuse.

Until contracts have been exchanged, neither party is committed to proceeding with the purchase (assuming you are not in Scotland where the situation may be different)

dsavvy83

zzzLazyDaisy wrote: »

Well, of course you don't 'have' to do anything....

But yes, it would be sensible to renegotiate the price if the cost of the works is likely to be significant. The seller can either agree or refuse.

Until contracts have been exchanged, neither party is committed to proceeding with the purchase (assuming you are not in Scotland where the situation may be different)

Thankfully we are not in Scotland, I just hope the seller didn't lie about nuisance neighbours or ongoing disputes..

Is anyone aware of how to find out if there have been any disputes? such as reporting to the police or local council?

mufi

dsavvy83 wrote: »

I just hope the seller didn't lie about nuisance neighbours or ongoing disputes..

Lying is not the same as not volunteering information, unless you asked the right question. Did you ask about major works?

Good luck! At least you've found out before exchange and can now do something about it. Always remember it's up to the purchaser (you) to find out; unless asked, there is no obligation of disclosure on the vendor, so ask questions and get the answers in writing, preferably via the vendor's solicitor (some contracts have exclusion clauses regarding information given by anyone other than the legal adviser).

dsavvy83

mufi wrote: »

Lying is not the same as not volunteering information, unless you asked the right question. Did you ask about major works?

Good luck! At least you've found out before exchange and can now do something about it. Always remember it's up to the purchaser (you) to find out; unless asked, there is no obligation of disclosure on the vendor, so ask questions and get the answers in writing, preferably via the vendor's solicitor (some contracts have exclusion clauses regarding information given by anyone other than the legal adviser).

Thanks, it is those exclusions which made us read the whole lot.

Well the sellers solicitors are obliged to tell us of any future works from the research I have been doing, and also the seller has ticked boxes to the effect that he is not aware of Major works to be carried out, when the leaseholders pack mentions Section 20 notices were sent to the leaseholders.

He definitely would have received paperwork from the managing agents and it is unlikely he could have missed that letter, since the works are due sometime soon.