Lender refusing to sign deed of covenant from management company

AdrianC

michelle230 wrote: »

Try telling that to people who have had to pay a "permission" fee of £60 to change their own front doorbell. Or to the people who have had to pay a "permission" fee of £500 to build a shed in their own garden.

If they didn't like those conditions, nobody was forcing them to buy those properties.

They were there for the seeing before they signed...

Julw

Thanks all for your replies! I wasn’t informed or aware when purchasing the property and my solicitor brought it to my attention months into the process. The maintenance is £50 per year and my solicitor is confirming what the council are responsible for. It is still ongoing. Lender refusing to sign, MC refusing to proceed without. It’s due to the unlikely event of repossession I believe from the MC point of view. I just wondered if anyone had any advice on how to overcome this? Or as you said it’ll be a new lender or walk...

AdrianC

Julw wrote: »

I wasn’t informed or aware when purchasing the property

Umm, you haven't bought it yet. So - yes - kinda by definition, you are.

Julw

Gosh, I was looking for some help, not sarcasm. It’s all very new to me and wanted to link in with people who may have some useful advice.

rachel230

Julw wrote: »

Gosh, I was looking for some help, not sarcasm. It’s all very new to me and wanted to link in with people who may have some useful advice.

Don`t take it personally. There are one or two superior posters on here who may be knowledgeable about some things, but think it gives them a right to condescend to others who aren`t the "experts" that they clearly are.

You will find lots of useful advice here
https://www.facebook.com/groups/nationalleaseholdcampaign and you won`t encounter anyone who tries to make you feel small or stupid.

rachel230

AdrianC wrote: »

If they didn't like those conditions, nobody was forcing them to buy those properties.

They were there for the seeing before they signed...

Umm - really??? Clearly you know because you were there.

Amongst other reasons, just one of the reasons to use an independent solicitor not "recommended" by the developer.

AdrianC

Julw wrote: »

Gosh, I was looking for some help, not sarcasm. It’s all very new to me and wanted to link in with people who may have some useful advice.

I'm not being sarcastic.

You haven't bought the property yet... you have found out about these conditions during the pre-purchase due diligence, and you can still back out of the purchase if you don't like them.

M_Python

rachel230 wrote: »

You will find lots of useful advice here
https://www.facebook.com/groups/nationalleaseholdcampaign and you won`t encounter anyone who tries to make you feel small or stupid.

I'm not sure that FB group is relevant as it is about leasehold houses. The OP is buying a freehold house with restrictive covenants in favour of the Management Company.

GDB2222

Julw wrote: »

Thanks all for your replies! I wasn’t informed or aware when purchasing the property and my solicitor brought it to my attention months into the process. The maintenance is £50 per year and my solicitor is confirming what the council are responsible for. It is still ongoing. Lender refusing to sign, MC refusing to proceed without. It’s due to the unlikely event of repossession I believe from the MC point of view. I just wondered if anyone had any advice on how to overcome this? Or as you said it’ll be a new lender or walk...

Hmm. New lender is an issue. Even if you find one, will you ever be able to sell the property? What if your buyers can’t get a mortgage?

These rent charges are very effective at ensuring house owners pay the service charge, but they are more than a bit draconian.

I don’t think you can complain about the service charge itself. It’s a modest amount and somebody has to maintain the estate if the council won’t adopt it. However, if the legal structure around it seems to cause too many problems, don’t buy on a new estate. Pretty quickly the developers will get the message.

eidand

AdrianC wrote: »

They are.


...bothering to understand what they're buying would have been a good idea.

that, right there is exactly the problem. People fall for this idea of new builds and don't even bother to understand what it means. There is so much information available with a simple search. You can learn then go and ask the right questions. In most cases it's better to just walk away.