Atrocious Management Company first time buyer PLEASE HELP

BonaDea

You should be able to look them all up at Companies House free of charge and see what their registered addresses are.

Nickfirsttimebuyer

@BonaDea there are no contact details sadly only full addresses!

BonaDea

Nickfirsttimebuyer said:

@BonaDea there are no contact details sadly only full addresses!

@Nickfirsttimebuyer - Nick, addresses ARE contact details.  Write a registered letter to each company at their address.

Nickfirsttimebuyer

@BonaDea @Tiglet2
These are the outstanding inquiries as received from my solicitor. It sounds to me like there is such a mess between the management company & the Freeholder. I AM NOT SURE IF I WANT TO PROCEED WITH ALL THIS CLOWN SHOW HAPPENING EVEN BEFORE BUYING!!! I REALLY LIKE THE PLACE BUT I AM QUESTIONING THIS PURCHASE OF THE ISSUES WITH FIRST PORT. PLEASE HELP ME WHAT SHALL I DO?

4. We need clarification on the fees and procedure to obtain a certificate of compliance from the landlord. We must have this to proceed. 

5. With regards to the unilateral notices on the title, we have downloaded the option agreement that the notices are in relation to, please see attached. It does not appear that the option was exercised (otherwise there would be a lease in existence over the development from the landlord to the company), and the option to enter into the lease (referred to in the Agreement) has now lapsed, as of 2022. In any event we believe it was an error that this was carried forward to your client’s title. Please write to the Land registry advising that this is an error (noting too that the option has expired) and to request that they remove the unilateral notices. 

11. The Leaseholder’s Deed of Certificate needs to be served with accompanying evidence, as per the certificate, please confirm whether this was done? As we are not entirely sure as to who Firstport act on behalf of, and the leaseholder’s deed of certificate is required to be served on the landlord, please have your client serve the certificate and evidence to the Spenhill companies and their addresses for service as per the landlord’s register of title. 

37. Please clarify if there is a management pack to be obtained by the landlord. Firstport have asked you to refer to the Landlord.

38. Please clarify the fees of the Management Company and the Landlord for receipting the Notice of Transfer. Firstport have asked you to refer to the Landlord and Management Company. 

39. Please ask the Landlord whether a Deed of Covenant is required, as per the Information Sheet. Firstport have asked you to refer to the Landlord.

HelpfulLittleHelper

I honestly would walk away, if they are this difficult now, how difficult will they be going forward (increasing their fees for potentially barely any service seems likely with this level of no Fs given). Also think about selling, your future buyers will have to go through the same and how patient will they be if they go through the same, chances are you will be loosing some sellers.

Nickfirsttimebuyer

@HelpfulLittleHelper thanks for that. This is what I'm also thinking I'll have issues with this purchase in the future. The problem is I will be paying 1.5K to my solicitor for the work they have done so far on my file which is really annoying... Also, based on this experience I'd like to consider only freeholds in the future but I don't want to move out of London. I cannot believe all the leaseholders have to go through what I've been through with this potential purchase....

BonaDea

I'm inclined to agree with @HelpfulLittle.  This all seems like far too much hassle with no clear route to being resolved.  It's annoying to lose the £1.5K, but look at it this way, spending that money to find out what a nightmare FirstPort are to deal with might have saved you lots more £££( as well as emotional exhaustion) in the long run.  Make sure to tell your vendor and the EA exactly why you are pulling out.  This shouldn't put you off all leasehold properties in London - many of them (eg flats in smaller conversions) don't bother with managing agents, and those flats that do have them don't all have agents that are as obstructive and inept as FirstPort appear to be.  Think of it as a useful lesson for next time: you'll know to research the managing agent before spending any money.    

sammyjammy

Look at the money you need to pay for work done (more than reasonable) as a lucky escape.  All flats and many houses you look at will be leasehold, just do your research on the freeholder and management agents before you spend any money next time.  Make sure agents/vendor know you are pulling out.

saajan_12

BonaDea said:

I'd be thinking, if the management company is like this now, what on earth will they be like once I am one of their captive leaseholders?  

Nickfirsttimebuyer said:

@BonaDea I know right this is what I'm thinking too! They are creating so many issues from day 1 and this is a red flag. Shall I just lose my money and pull out? I'm very stressed really

THis isn't really the same as other businesses where they bend over backwards to attract you as a client and then are worse when you're 'captive'. In this case, they already have a 'captive' client ie leaseholder, and there's no responsiblity or benefit to them in responding to this quickly. Once you are the leaseholder,
---> During the ownership, you'd have minimal interactions with the freeholder, usually its all done via the management agent. Things like collecting service charges and getting repairs done are part of their normal day to day responsibilities, and they have the threat of tribunal if they don't fulfill that.
---> Where it would be an issue is when you come to sell, if they're equally useless and your buyer withdraws because it takes too long. 

MysteryMe

Good business relationships now and going forward are only as good as the weakest link and First Port appear to be a very weak link.