False advertising by Purple Bricks- how do I get my money back?

Fabia123

We put an offer in on a property, in November 2021. The property advert stated that it was due to receive regeneration works(including a new roof, windows, insulation and door). 

We asked the agent numerous times, for more work regarding the regeneration work, however,  were told the 'seller was looking into it', or the seller needed to 'look at the leaflet'. However, whilst our mission to get to the bottom of this continued we spent £800 (£500 on the survey and £300 on the solicitors). 
Finally, we did get to the bottom of who was supposed to be doing the work (in April 2022), and they said this property was not guaranteed this work at all, and they did not have funding for it.
We then went to try and renegotiate with the seller, who said they didn't want to sell to us after all. The agents have now readvertised the property for ten grand more, and it still says that it will be getting this regeneration works. 

I have emailed purple bricks- they have not got back in touch, we have also told trading standards. Is there anything else we can do to try and get our £800 back?

Thanks in advance. 

canaldumidi

Fabia123 said:

.... The property advert stated that it was due to receive regeneration works(including a new roof, windows, insulation and door). 

We asked the agent numerous times, for more work regarding the regeneration work, however,  were told the 'seller was looking into it', or the seller needed to 'look at the leaflet'. .....

So clearly the regeneration work was no more than a possibility, yet you chose to go ahead with a survey etc despite knowing this work might or might not get completed.

Your chances of compensation are, perhaps, 5%.

C1996

I’m a FTB who has also lost out on £800 due to pulling out of a sale after the survey was completed. To my knowledge there was nothing I could do to get my money back.

eddddy

Fabia123 said:

We put an offer in on a property, in November 2021. The property advert stated that it was due to receive regeneration works(including a new roof, windows, insulation and door). 

....

Finally, we did get to the bottom of who was supposed to be doing the work (in April 2022), and they said this property was not guaranteed this work at all, and they did not have funding for it.

Your description of the situation sounds a bit strange.

Who was going to regenerate the property? Where were the funds coming from?

Is it something to do with a Leasehold property which was going to be refurbished by the freeholder using money from the Sinking Fund?

Fabia123 said:

I have emailed purple bricks- they have not got back in touch, we have also told trading standards. Is there anything else we can do to try and get our £800 back?

An estate agent has a legal duty to make sure that what they say isn't misleading. And they should take reasonable steps to make sure what the seller tells them is correct.

Purplebricks is a member of the Property Ombudsman Scheme, so you can complain to the Property Ombudsman.
See: https://www.tpos.co.uk/consumers/how-to-make-a-complaint

In the past, the Property Ombudsman has ordered estate agents to pay compensation to buyers they have misled.

But I guess it depends on exactly what was said in the property listing, and afterwards. 

 

eddddy

C1996 said:

I’m a FTB who has also lost out on £800 due to pulling out of a sale after the survey was completed. To my knowledge there was nothing I could do to get my money back.

Did the estate agent make any misleading statements (or make any misleading omissions), that resulted in you losing the £800?

If they did, and they're members of the Property Ombudsman Scheme, you can make a complaint.

Fabia123

eddddy said:

C1996 said:

I’m a FTB who has also lost out on £800 due to pulling out of a sale after the survey was completed. To my knowledge there was nothing I could do to get my money back.

Did the estate agent make any misleading statements (or make any misleading omissions), that resulted in you losing the £800?

If they did, and they're members of the Property Ombudsman Scheme, you can make a complaint.

Hi- Yes the advert said that the property would definitely be getting the regeneration works 'The property also boasts regeneration works scheduled this year (specific dates to be confirmed) on the development to include all neighbouring properties. This will include new insulation, a new roof, new windows, new doors and recladding of the entire property. All associated costs are paid for. Further regeneration in the area is is currently in the planning process'. 


However, it was difficult to understand who it was being done by, but when we did finally find out- this property will not be getting this work done at all. Had we known that it would not be getting done, we would not have put an offer on it. 

Fabia123

canaldumidi said:

Fabia123 said:

.... The property advert stated that it was due to receive regeneration works(including a new roof, windows, insulation and door). 

We asked the agent numerous times, for more work regarding the regeneration work, however,  were told the 'seller was looking into it', or the seller needed to 'look at the leaflet'. .....

So clearly the regeneration work was no more than a possibility, yet you chose to go ahead with a survey etc despite knowing this work might or might not get completed.

Your chances of compensation are, perhaps, 5%.

I wouldnt say that putting this in the advert:

'The property also boasts regeneration works scheduled this year (specific dates to be confirmed) on the development to include all neighbouring properties. This will include new insulation, a new roof, new windows, new doors and recladding of the entire property. All associated costs are paid for. Further regeneration in the area is is currently in the planning process'. 

And then texting and saying it was definitely getting done was 'only a possibility'?

pinkshoes

Fabia123 said:

I wouldnt say that putting this in the advert:

'The property also boasts regeneration works scheduled this year (specific dates to be confirmed) on the development to include all neighbouring properties. This will include new insulation, a new roof, new windows, new doors and recladding of the entire property. All associated costs are paid for. Further regeneration in the area is is currently in the planning process'. 

And then texting and saying it was definitely getting done was 'only a possibility'?

So when they texted and said it was "only a possibility", was that AFTER you had spent the money on the purchase?

eddddy

Fabia123 said:

Hi- Yes the advert said that the property would definitely be getting the regeneration works 'The property also boasts regeneration works scheduled this year (specific dates to be confirmed) on the development to include all neighbouring properties. This will include new insulation, a new roof, new windows, new doors and recladding of the entire property. All associated costs are paid for. Further regeneration in the area is is currently in the planning process'. 

However, it was difficult to understand who it was being done by, but when we did finally find out- this property will not be getting this work done at all. Had we known that it would not be getting done, we would not have put an offer on it. 

OK - so complain to the Property Ombudsman and see if they order Purplebricks to pay you compensation.


FWIW, the house looks like it's on a council owned estate, but the listing says the house is freehold. So the council have sold the house to the current owner.

So the council might be regenerating the estate and improving the houses they own, but it's very unlikely they'd be improving the house that's for sale, because it doesn't belong to them.


That should have rung a big alarm bell for the estate agent (i.e. a property professional) - they should have realised that sounds unlikely, and the estate agent should have made more enquiries to find out if it was really true.

That would add weight to your complaint to the Property Ombudsman.

Fabia123

pinkshoes said:

Fabia123 said:

I wouldnt say that putting this in the advert:

'The property also boasts regeneration works scheduled this year (specific dates to be confirmed) on the development to include all neighbouring properties. This will include new insulation, a new roof, new windows, new doors and recladding of the entire property. All associated costs are paid for. Further regeneration in the area is is currently in the planning process'. 

And then texting and saying it was definitely getting done was 'only a possibility'?

So when they texted and said it was "only a possibility", was that AFTER you had spent the money on the purchase?

Hi- No, sorry, I think I have confused things. The seller is still maintaining it is getting done-and they have said in the new advert it will be getting done...  but we have spoken to One Manchester (who are doing up the other houses), and they 100% at this moment in time, are not doing this work to the property we put the offer on...

Fabia123

eddddy said:

Fabia123 said:

Hi- Yes the advert said that the property would definitely be getting the regeneration works 'The property also boasts regeneration works scheduled this year (specific dates to be confirmed) on the development to include all neighbouring properties. This will include new insulation, a new roof, new windows, new doors and recladding of the entire property. All associated costs are paid for. Further regeneration in the area is is currently in the planning process'. 

However, it was difficult to understand who it was being done by, but when we did finally find out- this property will not be getting this work done at all. Had we known that it would not be getting done, we would not have put an offer on it. 

OK - so complain to the Property Ombudsman and see if they order Purplebricks to pay you compensation.


FWIW, the house looks like it's on a council owned estate, but the listing says the house is freehold. So the council have sold the house to the current owner.

So the council might be regenerating the estate and improving the houses they own, but it's very unlikely they'd be improving the house that's for sale, because it doesn't belong to them.


That should have rung a big alarm bell for the estate agent (i.e. a property professional) - they should have realised that sounds unlikely, and the estate agent should have made more enquiries to find out if it was really true.

That would add weight to your complaint to the Property Ombudsman.

Thank you so much! 
Yes, it was only when my dad said that it was unlikely to be the council doing this work did we start looking into it more. 
Anyway, we have now complained directly to Purple Bricks and will take it to the property ombudsman if it doesn't get anywhere.