Vendor doing work after exchange

Jcakes

Going to try get someone to go around this week.


Yes they have been informed not to do anymore work and not sure if they were moving out this week as apparently they were moving into rented or with family apparently.

Jcakes

So apparently the work carried out breaches one of the covenants and since we cannot prove if the work took place before or after exchange then we would now be the ones that would be liable if someone wanted to prosecute for breach of covenant.


Apparently we should have gone around an inspected the property again the day before exchange and then refused to exchange due to the work being undertaken. I was under the impression that the property has to be in the same state as per the "sale particulars" and how it was when offer was made as this is what we were instructed on the property we are selling. I was unaware that a vendor could do what they like to a property while all the legal paperwork is going through.


House moving is stressful enough without all this hassle.

Davesnave

Jcakes wrote: »

So apparently the work carried out breaches one of the covenants and since we cannot prove if the work took place before or after exchange then we would now be the ones that would be liable if someone wanted to prosecute for breach of covenant..

If it's not a new or very recent build, that's unlikely.

Most covenants like that are for the benefit of the builders.

I would live there and then decide, if it's been done well . Bushes can be moved, paths created etc. It's not the nature of things to stay the same.

Jcakes

Solicitor believes it breaches the covenant in relation to not making alterations to existing walls and now being told that this could effect mortgage and they could refuse to lend..........all over a gate put in a wall.


Solicitor has asked if they will take out a special indemnity policy. Really wish didn't go past the property last week now and was currently in blissful ignorance of this gate, think I wouldn't really care if discovered it on day of completion.

GDB2222

Jcakes wrote: »

So apparently the work carried out breaches one of the covenants and since we cannot prove if the work took place before or after exchange then we would now be the ones that would be liable if someone wanted to prosecute for breach of covenant.

You can't be prosecuted, as it's not a criminal offence. The very worst that can happen is that the covenant-holder will commence civil proceedings to have the wall reinstated. That would then be your responsibility as the new owner, whether the gateway was made before or after exchange.

Really, unless this new door opens into someone else's garden or it's a conservation area, nobody is going to care. Nobody is going to take any proceedings for breach of covenant. And, even if they did, it's a minor cost to reinstate the wall.

Your solicitor has a duty to the lenders, but this is a trivial problem for them, and taking out an indemnity policy is over-kill. Who organised the mortgage for you? I'd ask him/her to speak to the lenders and push this through for you. It's only a gate in the garden wall, after all, not an alteration to the house.

If an indemnity policy is needed, my guess is that you'll have to pay for it, as the vendors will presumably stick to their version of events, namely that the hole in the wall was made before exchange.

Jcakes

Exactly, I don't think anyone is going to care about a gate that gives access to a shed that is basically covered by a bush.


My solicitor is insistent that I take out an indemnity policy if they don't and I've informed the solicitor that they are basically being ridiculous and that nobody is going to take action.. Seems like a money making exercise for the solicitor and I am sure the mortgage company wont care and LTV ratio is low so only borrowing a small amount.


Not sure if the solicitor has now informed mortgage company and if they will insist, mortgage was sorted out direct and not through a financial advisor.


Just seems another way for solicitors to try get more money out of people.

m0bov

Ask the vendor to pay for the policy, or ask for the exchange to be reversed.