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How buyers respond to restrictive covenants?

bobster2
Posts: 782 Forumite

Not a question about how to deal with a restrictive covenant - a question about how a buyer is likely to react...
House has some very common restrictions - e.g. use only as a "private dwellinghouse" and no "business or trade" use without permission of the council (who were the original developer).
Potential buyer clearly wants to convert garage to run a business (with visiting clients). Think personal trainer, hairdresser, therapist - that sort of thing.
Is there much point in accepting an offer if they are likely to freak out when their solicitor takes them through the deeds? Worth showing them the convenants before accepting the offer (they might freak out later anyway when they meet their solicitor)? Obviously cannot give any advice on likelihood of enforcement etc.
I know experienced buyers take restrictive covenants in their stride. But is it worth entertaining an offer from someone who is planning what will be a major breach?
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Comments
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What they do with their new house is up to them.
Also, they may need planning permission depending on if the garage is facing the road, or adding windows etc.which I would assume would include an amendment to the covenant.Happiness, Health and Wealth in that order please!:A0 -
If you know the property won't suit their needs because of the covenants then be up front and tell them that. I wouldn't accept an offer from them without them confirming they will still buy if they cannot obtain consent to breach the covenants.3
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BJV said:What they do with their new house is up to them.
Also, they may need planning permission depending on if the garage is facing the road, or adding windows etc.which I would assume would include an amendment to the covenant.
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I think you should tell them up front and then they can take a view. I doubt their reaction will be any different if they learn the information down the line (as long as you don't communicate it in an alarmist way), and it could save you both a lot of time and effort if you tell them now.0
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Section62 said:BJV said:What they do with their new house is up to them.
Also, they may need planning permission depending on if the garage is facing the road, or adding windows etc.which I would assume would include an amendment to the covenant.
Permitted development covers most of it, but we needed planning in our local authority.Happiness, Health and Wealth in that order please!:A0 -
BJV said:Section62 said:BJV said:What they do with their new house is up to them.
Also, they may need planning permission depending on if the garage is facing the road, or adding windows etc.which I would assume would include an amendment to the covenant.
Permitted development covers most of it, but we needed planning in our local authority.0
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