MANAGEMENT INFORMATION PACKS ON SELLING A RETIREMENT PROPERTY

PAULMARDON

Hi there, just in the process of selling my parents retirement property that is managed by First Port. We have been informed by our solicitor that we need to pay £324 for a 'Management Information Pack 15'. Having spoken to First Port to enquire where this is detailed in any lease/legal agreement they could not answer. They did say though that the pack provides all information for the buyer about how Fist Port work, pets etc which is all available on their website. So the questiona are No1. Can they legally enforce us to pay it? No2. Why the seller and not the buyer? No3. If all info is already on the website is their a challenge? The daft thing is we actually have a Welcome Pack that was given to my parents for free when First Port took over the complex. Finally, we have spoken to some people who have recently moved in and they were charged +£200 for a 'Welcome Pack' which was sent to them via pdf and is available on the website. Any comments advice/would be appreciated. 

canaldumidi

PAULMARDON said:

......So the questiona are

No1. Can they legally enforce us to pay it? No, though if you don't they'll not provide the pack and your buyers will withdraw

No2. Why the seller and not the buyer?

Because the buyer has no legal relationship with the Manco, so the manco won't provide them with the pack. Of course, you could pass on the cost to your buyer who may or may not agree to pay it. It's not the norm though.

No3. If all info is already on the website is their a challenge?

Not sure what you mean by 'challenge' but your buyers won't accept info off a website. And I doubt it's all there anyway. Does the website show whether your parents' account is paid up or in arrears for example?

The daft thing is we actually have a Welcome Pack that was given to my parents for free when First Port took over the complex.

This may have some of the information - it won't have it all

Finally, we have spoken to some people who have recently moved in and they were charged +£200 for a 'Welcome Pack' which was sent to them via pdf and is available on the website. Any comments advice/would be appreciated. 

Welcome pack is not the same as sellng management pack.

ps - NO NEED TO SHOUT. IT TENDS TO PUT PEOPLE OFF AND MAY REDUCE THE NUMBER OF REPLIES YOU GET.

eddddy

"Management Information Packs" are a contentious area.

Currently, freeholders are not required by the law or by leases to provide them. But most buyers will not buy a property without them.

They will provide lots of information which isn't in the welcome pack or on the website, like:

• Are ground rent payments for the property upto date?
• Are service charge payments or the property upto date?
• How much has the service charge been for the property been over the last few years?
• Are any major works planned, which might increase future service charges?
• What is the status of the sinking fund?
• Have there been any disputes about service charges
• Etc, Etc

The government is talking about making it law that freeholders must provide them - and capping the price. (A price cap of £180 has been mentioned.) But there is no date set for that to happen.

It's usual for the seller to pay for the management pack - but there's nothing stopping you asking the buyer to pay. (But it might cause bad feeling, and get the sale process off to a bad start.)

user1977

If you don't understand the basics about the selling process, it would probably make sense if you chat to your solicitor about it. It's not the job of the managing agents to give you advice.

Golden_Glow90

We've had recent experience with First Port.  Their management pack contains a lot of information and the LPE1/FME1 which your buyers solicitor will need in order to answer some enquiries.