Land Registry weren't notified of sale of my property many years ago - what do I need to do now?

punwin

Forty years ago(!) I sold my humble abode to a mate because I was going overseas to work in something of a hurry.  He paid me (just over four grand!), was given the deeds etc and said that he'd register his purchase / transfer of title with the Land Registry. 

It seems he never got around to it and last year the Local Authority (Kirklees) finally tracked me down as being still registered as the property owner. 

The buyer is aware of the situation but because he is apparently in some weird dispute with the LA and is refusing to pay the Council Taxes for the property so they are holding me responsible for arrears and current dues - at four times the regular rate as, according to them, the property has not been lived in for ten years. 

The buyer has actually made some token Council Tax payments late last year but the LA still don't recognise him as being even the tenant (why else would he have paid them anything at all?) and are now threatening to take me to Magistrates Court for non-payment. 

The LA say they need proof that I am no longer the owner, but as I understand it it's up to the buyer to notify the Land Registry that they've taken ownership. 

I'd welcome any advice, especially anything that might be seen as some sort of precedent.

macman

What paperwork do you have to prove the sale? You're not telling us that you simply exchanged the deeds for cash and gave him the keys? What about the Stamp Duty payable on purchase?
Registering a sale with the LR only became compulsory throughout the UK in 1990.
CT is payable by the occupier, not the owner. But if  he was not in occupation for the last ten years, and CT is due on the unoccupied property, then you may well be liable unless you can prove that you no longer own it. There is no tenant, simply an ownership dispute.
You are in a potentially dire situation for which you really need to take professional legal advice.

movilogo

If you sold your house for £4k 40 years back and it was not registered as a sale, then you are the owner and you can sell same house now for ££££.
May be a blessing in disguise.

Slithery

macman said:

Registering a sale with the LR only became compulsory throughout the UK in 1990.

It's only been compulsory nationwide since 1990.
Compulsory registration was rolled out gradually from 1926 onwards so the OP needs to confirm whereabouts this property is.
https://hmlandregistry.blog.gov.uk/2019/05/30/registering-land-for-more-than-150-years/

penners324

Did you employ solicitors to deal with the property sale? 

What did you sign to prove the sale?

You need to send these documents to the council.

Or your friend needs to prove he's the owner, otherwise you can put the property up for sale yourself 

user1977

macman said:

What about the Stamp Duty payable on purchase?

I suspect that even in 1982, £4k would have been within the nil rate band so no stamp duty payable.

macman

Slithery said:

macman said:

Registering a sale with the LR only became compulsory throughout the UK in 1990.

It's only been compulsory nationwide since 1990.
Compulsory registration was rolled out gradually from 1926 onwards so the OP needs to confirm whereabouts this property is.
https://hmlandregistry.blog.gov.uk/2019/05/30/registering-land-for-more-than-150-years/

He stated that the LA is Kirklees.

SDLT_Geek

user1977 said:

macman said:

What about the Stamp Duty payable on purchase?

I suspect that even in 1982, £4k would have been within the nil rate band so no stamp duty payable.

The stamp duty threshold changed in 1982.  Up to 21 March 1982 it was £20,000, after that date it was £25,000.  I recall that one only got the benefit of the threshold if the conveyance included a "certificate of value".  Without a certificate, stamp duty was due at 2%.

Slithery

macman said:

Slithery said:

macman said:

Registering a sale with the LR only became compulsory throughout the UK in 1990.

It's only been compulsory nationwide since 1990.
Compulsory registration was rolled out gradually from 1926 onwards so the OP needs to confirm whereabouts this property is.
https://hmlandregistry.blog.gov.uk/2019/05/30/registering-land-for-more-than-150-years/

He stated that the LA is Kirklees.

In which case compulsory first registration came into force on 2nd April 1962 and should legally have been carried out as part of the conveyancing process.
https://www.gov.uk/government/publications/first-registrations/practice-guide-1-first-registrations#when-land-became-subject-to-compulsory-registration

@punwin - Did you give the purchaser all of the other documentation that would be needed for a first registration?

canaldumidi

Place the property on the market.

Sell for ... £200,000?

Pay the Council Tax.

Sorted.

But if your 'friend' contests your sale and claims he is the owner, then CT liablity will revert to him, so again.....  sorted.

lr1277

Doesn't selling the property raise a number of issues?

Gaining access to the property. Would a court decision be required to force out the current occupier? Or at least to get the keys to the property to be given to the estate agent.

Does the occupier have tenant or squatter rights?

I suppose the OP could threaten selling the property. The current occupier would either initiate or contest any legal action. At which point they would have to admit they are the current owner/tenant/squatter. In which case they would be liable for the council tax?

Gussing on my part.