Deed of variation on ground rent

ShirleyJefferies

user1977 said:

What is the variation being requested?

We assume that they want the ground rent to be fixed or limited below £250?  They haven't actually explained why?  

eddddy

ShirleyJefferies said:

user1977 said:

What is the variation being requested?

We assume that they want the ground rent to be fixed or limited below £250?  They haven't actually explained why?  

In simple terms, it sounds like the reason will be this...

If the ground rent is above £250, and you are 3 months late paying the ground rent, the freeholder can repossess the property.

However, you say the freeholder offered a Deed of Variation as follows:  "The only solution they offered was to not repossess the property if the rent wasn't paid."

So that will solve the problem.

So if the buyer wouldn't accept that, I suspect the buyer was confused and didn't understand the situation.



(Or it's possible that that the problem is that the ground rent increases very steeply - for example, doubling at every review. Or the ground rent is more than 0.1% or 0.2% of the properties market value.)