FTB Help please - To buy or not to buy?

WishfulThinker23

The situation:

Note: the sellers solicitor is a relative of the seller and also acted when she originally purchased.

Offer accepted on a 2 and a half year old house built on land previously owned by the council. Covenant in deeds for the land states:

the purchasers shall not at any time erect construct or allow on the said land any other building or erection of any kind whatsoever except garden sheds or garages until specifications have been submitted to and approved by the council as Council (The purchasers paying a fee of £5 for every such approval)

Our solicitor can find no proof of such covenant approval, either for the house or subsequent conservatory built, or pp for the dropped kerb at the front, and has requested this from seller.

Sellers solicitor says that proof doesn't exist, and isn't needed. He previously said they would take out indemnity, but now refuses to do so and advises that the buyers (us) will have to pay this. Our solicitor is seeing if insurance companies will cover this risk and if lender will still lend, but feels that something is dodgy and perhaps the sellers solicitor missed a trick the first time round and is covering his tracks.

Would you take the risk of no covenant approval on such a young property, even with indemnity insurance? And given that the sellers solicitor is a relative, and may have made mistakes?

Any advice really appreciated

harrys_dad

If someone has asked for proof of approval and been told there isn't any it is likely it will be impossible to get indemnity insurance. Is there planning permission for the original house? Surely there must be, so that counts as approval. It all sounds very odd to me. I would walk away.

WishfulThinker23

Hello,

Thanks for your reply!

Only the sellers solicitor has been asked for proof of covenant approval. As he acted for the seller when she was a buyer, I would have thought this should be available. I understand that we have no chance of indemnity insurance if the council gets involved.

There is planning permission for the house. But not for the dropped kerb at the front (or again, no such proof).

Sadly that's the way we are beginning to think. It's so hard to know what to do as ftb's.

Does anyone have an idea how often/likely the council are to discover and enforce such breaches?