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New Build Property - Management Services for Open Spaces.

I am writing regarding the purchase of our home as I do not believe that we were given the correct information regarding the maintenance charges that we would incur for the public spaces that surround our properties. At the time of reservation, we were told by the sales person that we would be charged a small amount for cutting the grass around the site (along with all the other houses) and that it was a small price to pay for the large area of land surrounding our property which would be lovely for children and pets. I don’t think I even realised that this would be a cost that we would have to pay permanently and assumed that it was until it was adopted by the council. We have recently attended two meetings held by the management company TMS who have advised us of our responsibilities to insurance, risk assess, survey and maintain for this area. The estimated costs for 2016 show that the grass cutting is only £4950 of the £12650 total bill. It is only from attending these meetings and writing to Persimmon that I have been made aware that only 46 houses out of 81 on the estate are paying the charges. I understand that some have even been able to complete without incurring these fees. We understood that everybody would be paying for the grass to be cut and therefore thought the costs would be minimal. In addition to this, Phase II of the development (that's us) are paying for the maintenance of the area surrounding Phase I and II and Phase I are not included in paying for these services. I feel that this is unfair and that this was kept secret from us. It only came to light because somebody on the estate knew this from knowing somebody living in Phase I of the development. I have also been told that the area to the left of the development as you drive in, which surrounds Phase I forms half the maintenance costs.

I am also very disappointed with the open spaces and it was not how I envisaged them to be from the drawings and description from the sales office. The grass is boggy and there have been many problems with the dry detention basins which are still not operating properly. Initially when somebody questioned this we were told they were completed to specification. However, since then Persimmon have sent a company called Harris and Harris who have dug up the area and filled it with more stone. I don’t think that there will be any more work done and it does not seem to have had any affect. I do not feel as though it is a good area for children as these areas hold water and are not safe. In addition to this, when walking my dog I have lost my shoes in the mud and I’m sure that parents would not want their children using the area because they would get covered in mud and water that has been left stagnant. There has been issues where the children have played in areas where soil has been placed before grass seed laid on top of banks. Unfortunately, this has left the banks unstable and in a mess. There are just lots of holes where the bank has just moved away. An elderly lady has even fallen down the bank and suffered injuries because of this. With the dry detention basins and the steep areas which are all boggy it is really not an area where you want children to play. However, this was how it was sold to us.

We will be shortly taking over the responsibilities for this area and I envisage it being a worry for all of the residents. I do not feel as though the area has been left in a standard which is safe and what you would expect surrounding a new estate, especially when it will be passed over to the residents to maintain. I feel as though Persimmon are not worried about this now that they have left the site – why would they when the residents will have to pay to carry out repairs and correct the issues? We have been told that we cannot stop the transfer and have no say in this. Yet we will be left with these issues to correct.

I have been told that it is not a case of acceptance of the communal areas, the management company (that's us- 46 houses) have an obligation to pay and will have to accept the transfer. I do not think that fair for residents to have no say in the transition of liability from developer to the management company which means we have to just accept the problems that the developer has left. This will mean that we will have to pay to correct these at some point in the future which will add to the yearly fee which is already rising.

The code of conduct for home builders states the following:

The Code covers every stage of the home-buying purchase – pre-purchase, pre-contract, exchange of contract and during occupation.
Pre-purchase
Home buyers must be given enough information to help them make an informed decision about the purchase of a new home. This must include:
§ a written reservation agreement – including the reservation fee, what is being sold, the purchase price and how long the price remains valid
§ an explanation of the insurance-backed home warranty cover
§ if the home is not yet complete (for example when buying off-plan) buyers will be provided with a brochure or plan showing the layout, appearance and plot position of the home, a list of the home’s contents and standards to which the home is being built
§ a description of any management services that the buyer must pay for and an estimate of their cost

I do not feel as though Persimmon provided us with adequate information when we reserved the property and we received no description of the management company. The only document we were given was a carbon copy of the reservation agreement which was completed with the sale assistant. We were advised that we would pay a company to cut the grass. However, we are in fact part of a company and are responsible for this as well as risk assessing, insuring and maintaining the land. In addition to this, I don’t think I understood that POS meant and have now been told that the £180pppy meant per property per year and this was fee for cutting the grass. This is the first house we have purchased and there are so many costs involved that I did not realise this at the time. Even this document is incorrect as the charges are not fixed and are likely to keep rising. When we reserved the property we chose ‘finishing touches’ and by signing the reservation document agreed that if we did not continue with the purchase of the house we would lose this money and the reservation fee of £250. We should have been told the right and full information about the services we would be signed up for at reservation.

We have received various invoices from TMS and the fee for each individual property has increased to £275. This is only an estimated cost and we could have to pay more should the costs exceed this. Again, this was not made clear at reservation. My husband and I both work full time and like a lot of people on the estate this makes a lot of difference to us. We all were unaware of the full responsibility even up until we have attended these meetings just recently. I also worry that it could deter people from purchasing our property in the future, especially if the costs rise as much as they have this year. I don’t feel that we were given the correct information to make an informed decision. The charges will affect us whilst we continue to live in the property and potentially could cause problems when looking to sell. Making a choice to buy a property is probably one of the biggest decisions you could make and when buying a new build property, you believe that everything will be transparent and straight forward. However, this seems to be far from it and I am surprised that companies like Persimmon can sell properties with these ongoing commitments for buyers without providing more information.

The whole thing makes me upset and I feel that we were misled by persimmon. We even told in one meeting with TMS that if we didn’t pay the fees we could make our houses unsellable. I have had sleepless nights worrying that we will be unable to sell our house in the future and the money that we have invested in our house could be lost. When speaking to many people it seems as though they were not provided with the information we all felt we should have had. A lot of people have commented that they were not aware that we had to pay yearly costs and this not just young people buying their first home but people who have moved house and in educated professions. Many people, including us have considered moving because of the worry. I think that this is unfair and has made us lose faith in buying new build properties. Persimmon do not seem to deal with issues as I think they should and what you expect when you are reassured you have expected protection and warranties when buying a new build property. I don’t see how companies like Persimmon can sell houses with these charges without providing more information and also leave open spaces with issues which will be passed onto the residents. I incorrectly thought that buying a new build would be free from ongoing issues and have felt very vulnerable. I feel that more should be done to protect home buyers from being misled.

I don’t think that Persimmon followed the code of conduct and have not provided us with the information we should have had at reservation about the management services. Therefore, I feel that our house was mis-sold to us. I am severely disappointed with Persimmon and the experience we have had buying our first house. Had we have been given the full information by the developer then I could accept that we have to be part of the management company. However, I feel that we have not had the right to information which would have enabled us to make an informed decision. I feel that we were kept in the dark and it's only from meeting with the management company that we have been given information and this would not have happened had it not been for a couple of the residents who had pushed for this. We are just sent bills with little information as to what this it is for and just expected to pay it. We are basically told that it’s tough as that’s what we have accepted when we brought the house.

I apologise for the lengthy email and thank you for taking the time to read it. I wonder if anybody knows where I can get advice or support around this issue? Has anybody else been involved in something similar when buying a property? I would be grateful to also hear your opinions.

Thanks in advance.

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