New HTB Scheme and Estate Rent Charges

NannyPlum89

Hi all,

We are close to exchanging on our property, however our solicitor has noticed that there are clauses relating to estate rent in the TP1 form that do not align with the new HTB scheme.  After doing some research, we found this in a HTB document:

"The use of Estate Rent Charge enforcement powers under Section 121 Law of Property Act 1925 or any other express means of enforcement of the Estate Rent Charge enabling re-entry, the granting of a lease or repossession of an Eligible Dwelling will not be permitted under the Help to Buy: Equity Loan 2021 - 2023 programme under any circumstances."

Our solicitor has been chasing the builder's solicitor for over a week, and doesn't appear to be getting anywhere.

Has/Is anyone else had/having a similar issue?

Thanks 

Amy32

NannyPlum89 said:

Hi all,

We are close to exchanging on our property, however our solicitor has noticed that there are clauses relating to estate rent in the TP1 form that do not align with the new HTB scheme.  After doing some research, we found this in a HTB document:

"The use of Estate Rent Charge enforcement powers under Section 121 Law of Property Act 1925 or any other express means of enforcement of the Estate Rent Charge enabling re-entry, the granting of a lease or repossession of an Eligible Dwelling will not be permitted under the Help to Buy: Equity Loan 2021 - 2023 programme under any circumstances."

Our solicitor has been chasing the builder's solicitor for over a week, and doesn't appear to be getting anywhere.

Has/Is anyone else had/having a similar issue?

Thanks 

We haven’t come up against this yet with HTB but we did have it with our lender. Solicitor had to send title of deeds over to them etc. We are about to exchange also and now wondering whether we will have same difficulty with HTB although ours is on the old scheme not the new one. I hope you get it sorted. 

NannyPlum89

Amy32 said:

NannyPlum89 said:

Hi all,

We are close to exchanging on our property, however our solicitor has noticed that there are clauses relating to estate rent in the TP1 form that do not align with the new HTB scheme.  After doing some research, we found this in a HTB document:

"The use of Estate Rent Charge enforcement powers under Section 121 Law of Property Act 1925 or any other express means of enforcement of the Estate Rent Charge enabling re-entry, the granting of a lease or repossession of an Eligible Dwelling will not be permitted under the Help to Buy: Equity Loan 2021 - 2023 programme under any circumstances."

Our solicitor has been chasing the builder's solicitor for over a week, and doesn't appear to be getting anywhere.

Has/Is anyone else had/having a similar issue?

Thanks 

We haven’t come up against this yet with HTB but we did have it with our lender. Solicitor had to send title of deeds over to them etc. We are about to exchange also and now wondering whether we will have same difficulty with HTB although ours is on the old scheme not the new one. I hope you get it sorted. 

Thanks for your reply. Thats interesting about your lender, did they require a Deed of Variation?

Our solicitor is saying itsonly new HTB with this clause so hopefully you won't have any further problems with it. Got my fingers crossed for you!

Amy32

NannyPlum89 said:

Amy32 said:

NannyPlum89 said:

Hi all,

We are close to exchanging on our property, however our solicitor has noticed that there are clauses relating to estate rent in the TP1 form that do not align with the new HTB scheme.  After doing some research, we found this in a HTB document:

"The use of Estate Rent Charge enforcement powers under Section 121 Law of Property Act 1925 or any other express means of enforcement of the Estate Rent Charge enabling re-entry, the granting of a lease or repossession of an Eligible Dwelling will not be permitted under the Help to Buy: Equity Loan 2021 - 2023 programme under any circumstances."

Our solicitor has been chasing the builder's solicitor for over a week, and doesn't appear to be getting anywhere.

Has/Is anyone else had/having a similar issue?

Thanks 

We haven’t come up against this yet with HTB but we did have it with our lender. Solicitor had to send title of deeds over to them etc. We are about to exchange also and now wondering whether we will have same difficulty with HTB although ours is on the old scheme not the new one. I hope you get it sorted. 

Thanks for your reply. Thats interesting about your lender, did they require a Deed of Variation?

Our solicitor is saying itsonly new HTB with this clause so hopefully you won't have any further problems with it. Got my fingers crossed for you!

I don’t know what it was that we had to show them but it was so that they could see that there was no way the management company who take the fees can have a stake in the house if we weren’t to pay them. Luckily we had a clause that states that they can’t. 

Dollyy

NannyPlum89 said:

Hi all,

We are close to exchanging on our property, however our solicitor has noticed that there are clauses relating to estate rent in the TP1 form that do not align with the new HTB scheme.  After doing some research, we found this in a HTB document:

"The use of Estate Rent Charge enforcement powers under Section 121 Law of Property Act 1925 or any other express means of enforcement of the Estate Rent Charge enabling re-entry, the granting of a lease or repossession of an Eligible Dwelling will not be permitted under the Help to Buy: Equity Loan 2021 - 2023 programme under any circumstances."

Our solicitor has been chasing the builder's solicitor for over a week, and doesn't appear to be getting anywhere.

Has/Is anyone else had/having a similar issue?

Thanks 

Hello, I know this post has been over a year. Myself and my husband are currently in this situations and by the end of March it will make it 2months since we got our mortgage offer but we cannot exchange and complete due to the clause. The developer as now told us they are waiting for HTB and the council to make a decision and they have know idea of how long it will take for them to get a response. 

I will like to know how things went with yours and how long it took for everything to be sorted.