I have Broken a Covenant

jansus

I am in the process of selling my house i bought it off a couple 11 years ago, they in turn bought from the council in 1998.
We put an extension on the property four years ago with the relevant planning permission, what i didn't realise until my solicitor sent enquiries is that there was a covenant stating that we were " not to erect or place any additional building or structure in accordance with plans specifications unless previously approved in writing by the transferor"
I had absolutely no idea i just thought i needed planning permission and away i go :eek:
I have no idea what to do next, i have the contract to sign but my buyers are first time buyers and i fear will run a mile.
Anyone know what i should do please.

G_M

If the buyers (or their mortgage lender) raise this as an issue, you (your conveyancer) can offer to purchase an indemnity insurance.

It would pay out if the beneficiary of the covenant (the council?) demanded the structure be removed. I imagine it would pay the removal costs, and also the reduction in vlue of the property.

Though I'm not 100% sure of the exact terms.

These are very common. Your conveyancer will advise.

Sadly it would not actually prevent the covenant from being enforced, just pay the consequential financial costs.

kerri_gt

Who is the transferor / who is overseeing the covenants are adhered to? For example is it a private road with a Management company?

Really you should have known since this information would have been passed in the information when you bought the house, however, water under the bridge.

Two choices I believe a) write retrospectively to the overseer' of the covenant asking for retrospective permission (do cite other extensions if they have been added in your road if applicable and confirm / provide evidence you got planning permission) b) you can still exchange being in breach of covenant if the buyer is happy to do so - they can then apply for retrospective permission but the risk is they may end up in a battle if this is denied.

Additional covenants is a bit of a pain as we found out as FTB in a private road (didn't even think about such things beforehand) but tbh they often sound scarier than they are (for example we're not allowed to put washing on the front lawn) and they do help keep the road well kept.

jansus

I don't know who the tranferor is although as my solicitor asked me to contact the council for a consent certificate so i assume it's them? it has been flagged up when my solicitor sent some enquiries and the contract to sign.
If it were me buying i think i would be scared to death of the prospect of half the house being torn down! and run a mile.

kerri_gt

well if it is the council, given that you were granted planning permission, I would think (and this is only my opinion) the prospect of it being refused is minute.

Are there other houses in the road with similar / same extensions? Is it at the back or the front of the property?

jansus

kerri_gt wrote: »

well if it is the council, given that you were granted planning permission, I would think (and this is only my opinion) the prospect of it being refused is minute.

Are there other houses in the road with similar / same extensions? Is it at the back or the front of the property?

That was my thought Kerri. We have a two story side extension and a house a little further up has the same.

G_M

kerri_gt wrote: »

well if it is the council, given that you were granted planning permission, I would think (and this is only my opinion) the prospect of it being refused is minute.

Are there other houses in the road with similar / same extensions? Is it at the back or the front of the property?

You cannot assume that. Different council departments.

Applying for retrospective approval is an option but

* will probobly take weeks/months

* might result in a refusal. Once refused, the option of an indemnity insurance vanishes. For ever. Plus it alerts them to the breach and might result in enforcement!

glasgowdan

Step back a second. How many buildings do you have? One?

In that case it's not an "additional building or structure". It sounds like this covenant is designed to prevent a sea of shanty sheds being erected.

csgohan4

glasgowdan wrote: »

Step back a second. How many buildings do you have? One?

In that case it's not an "additional building or structure". It sounds like this covenant is designed to prevent a sea of shanty sheds being erected.

It is an additional building over the original plans, whether it is bolted on or not

dirty_magic

Loads of people have broken covenants round here and none of them have been made to demolish half their houses.

It's so unlikely to happen, just get the indemnity if they ask for it and forget about it! I wouldn't open a can of worms and try to get retrospective agreement.

Alter_ego

Surely the Planning permission was granted by the same council that holds the covenant? Permission to break covenant implied?