Garden is owned by someone else!

srgrech

Hi we are in the process of buying a property, we had an offer accepted and had hoped to complete soon.  However we discovered last week that half of the front garden (approx 4m by 5m) is actually owned by the original developer from 60 years ago! 
However we also discovered that we have a right of way across this land (granted in 1977). 
I am now wondering whether I should have a survey done (no mortgage to consider) to confirm the value of the property as I am concerned it is worth less money? 

user1977

If you like, but you'll probably find there's very little difference in value between a house with a garden and the same house with a slightly bigger garden. In fact, aren't there any similar nearby properties to enable you to figure this out by yourself?

twoLou

What does your solicitor advise regarding the land being owned by someone else?
you are after paying for their advice and expertise and I’m sure most have come across this issue before.

If it was me buying I would be more concerned about selling the house in the future as there will always be some buyers such as you (and me if I’m honest) who wouldn’t be that comfortable with the arrangement but that’s nothing to do with it’s value.

eddddy

In your position, I think I'd focus more on the possible implications of (and the possible reasons for) the developer owning 4m/5m of all the front gardens.

For example, is it a service strip, or maybe a ransom strip?  Is it going to stop you doing something that you want to do - like create a parking space, or build a garden wall?  Will anyone care if you do?

Might the developer want to reclaim it for some reason? e.g. Might the current owner fence it off, and then try to make you buy it?

Is that likely after 60 years?

I guess you could also look at the options for claiming adverse possession.

Ditzy_Mitzy

Have you any details regarding the developers?  After sixty years they may well be defunct and/or dead (if natural persons) so the land may be bona vacantia.  Not Julian and Sandy's Bona Vacantia, mind, so you won't get a visit from Kenneth Horne but you may want to give this a vada:

https://www.gov.uk/government/organisations/bona-vacantia 

srgrech

twoLou said:

What does your solicitor advise regarding the land being owned by someone else?
you are after paying for their advice and expertise and I’m sure most have come across this issue before.

If it was me buying I would be more concerned about selling the house in the future as there will always be some buyers such as you (and me if I’m honest) who wouldn’t be that comfortable with the arrangement but that’s nothing to do with it’s value.

That's exactly my issue.  If it was our forever home then I would overlook this. However it is doubtful we will live there for longer than 3 years.  Solicitor advised that we should ask for the vendor to purchase the land before completing the house purchase.  Whilst I agree that this is the idea, we have some serious time pressures, there completing on the house and seeking adjustment to agreed sale price is better way forward does some have some risk as the additional land purchase could fall through.

srgrech

eddddy said:

In your position, I think I'd focus more on the possible implications of (and the possible reasons for) the developer owning 4m/5m of all the front gardens.

For example, is it a service strip, or maybe a ransom strip?  Is it going to stop you doing something that you want to do - like create a parking space, or build a garden wall?  Will anyone care if you do?

Might the developer want to reclaim it for some reason? e.g. Might the current owner fence it off, and then try to make you buy it?

Is that likely after 60 years?

I guess you could also look at the options for claiming adverse possession.

Only a small of properties are impacted.  It could be a ransom strip but I doubt it. More likely perhaps a service strip not sure how I would find out?  The original developer is dead so the land past to his son..  We would not be able to create a driveway as the right of way provides only for foot passage.
It would appear that someone in a similar position claimed adverse possession in 1998, strangely it wasn't yet converted to absolute title.  To be honest possessory title means little other than a way of ultimately obtaining title absolute after 10 years (perhaps).  We will be out in 3 year.  We need the land.  

srgrech

Ditzy_Mitzy said:

Have you any details regarding the developers?  After sixty years they may well be defunct and/or dead (if natural persons) so the land may be bona vacantia.  Not Julian and Sandy's Bona Vacantia, mind, so you won't get a visit from Kenneth Horne but you may want to give this a vada:

https://www.gov.uk/government/organisations/bona-vacantia 

The developer past but he son is still a spritely 70 years old and I did track him down and speak with briefly the other day, he is inviting offers.

lindos90

We bought a house once with the back garden not being owned. The vendors had to complete a declaration stating how many years it had been used by them without any objections, and then we had to buy some kind of indemnity insurance in case the land owner came forward sometime in the future to reclaim it (it's going back a while now, so there was no way of finding out who the owner was though, and if course it might be a different oroceedure now) What has your solicitor suggested? 

fourmarks

Ditzy_Mitzy said:

Have you any details regarding the developers?  After sixty years they may well be defunct and/or dead (if natural persons) so the land may be bona vacantia.  Not Julian and Sandy's Bona Vacantia, mind, so you won't get a visit from Kenneth Horne but you may want to give this a vada:

https://www.gov.uk/government/organisations/bona-vacantia 

Oooooh, very bold.

35har1old

eddddy said:

In your position, I think I'd focus more on the possible implications of (and the possible reasons for) the developer owning 4m/5m of all the front gardens.

For example, is it a service strip, or maybe a ransom strip?  Is it going to stop you doing something that you want to do - like create a parking space, or build a garden wall?  Will anyone care if you do?

Might the developer want to reclaim it for some reason? e.g. Might the current owner fence it off, and then try to make you buy it?

Is that likely after 60 years?

I guess you could also look at the options for claiming adverse possession.

  Guidance  HM Land Registry

Practice guide 4: adverse possession of registered land

After 10 years to 12 years if no one objects
It same's to have become a ransom strip after all