Vendors &Estate Agent did not tell me about major works granted to next door?

RHemmings

EssexHebridean said:

It's well outside of the remit of an estate Agent to be investigating planning applications in the area around properties listed by them RH. Thank goodness too - I can only begin to imagine how many sales would be scuppered by a heavy-footed EA charging in and "helpfully" contacting the council for information about things which really ought to be left well alone! 

Planning applications are considered to be significant though - which is why they are required to be notified by a seller - usually the person best qualified to answer) as part of completing the TA6. 

Having just now reviewed a number of TPOS cases, in the OP's situation I believe (I am not the Ombudsman) that there would need to be a positive claim in the sale advertisement/listing that creates an expectation that surrounding houses are detached. E.g. "in a street of detached houses". I've not seen that sort of claim in listings, that I remember. 

I believe that, depending on what is written in the listing, the EA may need to investigate planning permissions. As an example, if a house was sold described as "overlooking fields", but those fields had planning permission approved for a big estate, then I believe (again, I am not the Ombudsman) that there may be some comeback via TPOS for that. Or, at least, that a claim is plausible.

I really don't understand PRS's code and its application, so ignore it here. 

user1977

Cuticuraser said:

RHemmings said:

If the Estate Agent is a member of The Property Ombudsman Service, then they are expected to do due diligence on properties and to inform buyers of information that would be likely to affect their decision to buy. This applies whether or not the EA was told the information by the seller. 

However, I personally think it unlikely that this planning permission for this next-door property would be considered significant enough to be expected to change a buyer's decision to buy. 

I mainly post this because of the mention of the EA not being told of information by the seller and therefore not being able to inform the buyer. This does not get the EA off the hook in all circumstances. 

Given that the OP hasn't yet exchanged, then they are free to adjust their offer as and when they wish. The seller, as mentioned before, may not accept a lower offer, may negotiate further, or accept it. Again, that's their right. 

It may also give me future headaches if the foundations of my property is affected by the next door works.

It would, but it's immensely unlikely to actually happen.

pinkshoes

@Cuticuraser it is unlikely that the EA will have known about the planning permission. This will come back in searches done by your solicitor, and will have to be declared by the seller on the SPIF form when it asks about notifications of planned building work. Or if it's something you feel strongly about you could have asked the EA/vendor yourself.

Moving forward, you now need to decide if this is a deal breaker.

Firstly the building/construction over 12/18 months (dust, vans, noise, potential issues etc...). I'd be wanting a deduction in price for the huge inconvenience.

Secondly, the semi vs detached issue. The ONLY issue I can see here is potentially a parking one - two families would likely mean more cars. Is there a parking issue in the area?

Cuticuraser

pinkshoes said:

@Cuticuraser it is unlikely that the EA will have known about the planning permission. This will come back in searches done by your solicitor, and will have to be declared by the seller on the SPIF form when it asks about notifications of planned building work. Or if it's something you feel strongly about you could have asked the EA/vendor yourself.

Moving forward, you now need to decide if this is a deal breaker.

Firstly the building/construction over 12/18 months (dust, vans, noise, potential issues etc...). I'd be wanting a deduction in price for the huge inconvenience.

Secondly, the semi vs detached issue. The ONLY issue I can see here is potentially a parking one - two families would likely mean more cars. Is there a parking issue in the area?

The road has parking restrictions during the day but the next door neighbour redevelopment plans do include off-street parking so shouldn't really increase cars on the road.

I am surprised my solicitor isn't really flagging anything up, I am having to actively chase things down.

If I withdraw for the above reasons (not advised about redeveloped works during time of offer) will the EA refund me on the solicitor fees etc?

gm0

>If I withdraw for the above reasons (not advised about redeveloped works during time of offer) will the EA refund me >on the solicitor fees etc?

No.  The legal professionals you hired to do due diligence and conveyancing get paid for work done until the point you stop any work (perhaps by not continuing with a purchase).  They deserve to be paid up, costs of searches etc.  Similarly any surveyor who turned up and did work for you - same.

The EA who works for the selller will not compensate you routinely for a failed renegotiation or cold feet.  You just lose those costs.  See also gazumping and "having a 2nd string buyer" where an unwary buyer incurs cost but doesn't get the property in the end.

EA will reject any complaint and send you some fluff which basically says - you need to do your own due diligence.  Information from the seller etc.  No contract with you.  Seller disclosure.  Code of practice blah blah blah.  But the legal liability climb is huge.  And for £1-2k almost never is the marketing behaviour egregious enough to make the chase worth it. 

Buy the house.  Don't buy the house.  File under life lesson

eddddy

Cuticuraser said:

If I withdraw for the above reasons (not advised about redeveloped works during time of offer) will the EA refund me on the solicitor fees etc?

If the EA is a member of The Property Ombudsman Scheme (most are) - you could have a go at complaining to the Ombudsman. The Ombudsman has the power to tell an EA to pay you compensation.

Whether you succeed depends on whether the Ombudsman decides that the EA knew or should have known about the development next door.




For example, the National Association of Estate Agents (NAEA) recommend that EAs ask sellers to fill in a 'Property Information Questionnaire' before marketing the property. The questions include:


Link: https://www.propertymark.co.uk/resource/property-information-questionnaire-sales.html


So it's up to the Ombudsman to decide whether the EA should have asked the seller those types of questions.



Additionally / alternatively, EAs generally keep tabs on development property being sold on their patch, and new houses being built on their patch, etc.

So did the EA actually know that the house next door was recently sold for development, and/or that it had recently got planning consent?

lincroft1710

Being next door to a semi is highly unlikely to affect the value of the house you intend buying. We owners of semis are quite civilised. We only usually have one abandoned car on the front lawn and quickly tape up any broken windows and paint our front doors every 25 years or so. Noisy parties usually finish by 3am and the police usually only visit once a week. Nor do we let our grass grow more than 2ft high

Cuticuraser

lincroft1710 said:

Being next door to a semi is highly unlikely to affect the value of the house you intend buying. We owners of semis are quite civilised. We only usually have one abandoned car on the front lawn and quickly tape up any broken windows and paint our front doors every 25 years or so. Noisy parties usually finish by 3am and the police usually only visit once a week. Nor do we let our grass grow more than 2ft high

Understand the sarcasm but the area also attracts a lot of renters who generally have little considerations for others. Last thing I want is buying next to rented properties where they dump their rubbish on the streets

Albermarle

Cuticuraser said:

lincroft1710 said:

Being next door to a semi is highly unlikely to affect the value of the house you intend buying. We owners of semis are quite civilised. We only usually have one abandoned car on the front lawn and quickly tape up any broken windows and paint our front doors every 25 years or so. Noisy parties usually finish by 3am and the police usually only visit once a week. Nor do we let our grass grow more than 2ft high

Understand the sarcasm but the area also attracts a lot of renters who generally have little considerations for others. Last thing I want is buying next to rented properties where they dump their rubbish on the streets

I would have thought normally a developer building two brand new houses, would be looking to maximise the price by targeting them at homeowners, rather than landlords. However you never know I suppose.

RHemmings

I found a relevant looking case on TPOS's site, but it is ten years old. 

https://www.tpos.co.uk/news-media-and-press-releases/case-studies/item/blot-on-the-landscape

A buyer received compensation for a major building site starting up next door. But, note that the Estate Agent was aware that building was planned and hadn't passed that on. https://www.tpos.co.uk/news-media-and-press-releases/case-studies/item/blot-on-the-landscape

Might be informative for the OP if it can be shown that the EAs knew of the planning permission. That might be tricky, but the next door neighbours who applied for the planning permission can be asked.