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    • leon103
    • By leon103 11th Apr 18, 9:02 PM
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    leon103
    New purchase and restrictive covenant
    • #1
    • 11th Apr 18, 9:02 PM
    New purchase and restrictive covenant 11th Apr 18 at 9:02 PM
    Hi after some advice if I may.

    We are buying a new house which was built in 2006. The house was built on land that came with a covenant from the 1970s. One of the conditions on the original property and land was that no other property could be built on the land. But in 2006 a house was built with planning permission although for some reason they didn't get building regs.

    We have asked for the seller to get building regs buy a bit worried about the covenant. All house in the same area have the same covenant, our current house included and we know some people have breached but never heard of any action taken.

    The seller has taken out indemnity insurance for the breach for a sum of 200k but we are buying for more than this.

    Does this all sound Ok?
Page 1
    • Doozergirl
    • By Doozergirl 11th Apr 18, 9:28 PM
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    Doozergirl
    • #2
    • 11th Apr 18, 9:28 PM
    • #2
    • 11th Apr 18, 9:28 PM
    A whole house with no building control approval?

    I promote pragmatism, but having no BCA on a brand new house in 2006 is taking the michael. They must have built it for themselves with no mortgage for 10 years?

    I'm quite pragmatic about these things but I'm not sure I'd be happy buying it without some serious checks and balances carried out now.

    The indemnity amount needs increasing from 200k, obviously. To an amount more than you are purchasing for to cover any rise in price.
    Last edited by Doozergirl; 11-04-2018 at 9:30 PM.
    Everything that is supposed to be in heaven is already here on earth.
    • leon103
    • By leon103 11th Apr 18, 9:45 PM
    • 722 Posts
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    leon103
    • #3
    • 11th Apr 18, 9:45 PM
    • #3
    • 11th Apr 18, 9:45 PM
    A whole house with no building control approval?

    I promote pragmatism, but having no BCA on a brand new house in 2006 is taking the michael. They must have built it for themselves with no mortgage for 10 years?

    I'm quite pragmatic about these things but I'm not sure I'd be happy buying it without some serious checks and balances carried out now.

    The indemnity amount needs increasing from 200k, obviously. To an amount more than you are purchasing for to cover any rise in price.
    Originally posted by Doozergirl
    Agree it is strange that it had no building control and something we have stated needs sorting before we proceed. They have an insurance for this but I don't want issue when/if we sell it in the future. It was built by a reputable local builder and I can see there is a mortgage on the property.

    Is it down to the person taking out the mortgage responsibility to inform 're mortgage company of the lack of building control?
    • ComicGeek
    • By ComicGeek 11th Apr 18, 10:01 PM
    • 339 Posts
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    ComicGeek
    • #4
    • 11th Apr 18, 10:01 PM
    • #4
    • 11th Apr 18, 10:01 PM
    You need to get prepared for when the vendor turns around in a few weeks time and says that they won't/can't get BR sign-off. Personally I would definitely walk away now and not even wait for this - I would definitely never accept indemnity insurance against this if they offer it.

    I can't think of any acceptable reason why a 12 yr old house wouldn't have sign-off, particularly if it's a supposedly reputable builder. The only job I've worked on that had this was the director's own house, and he cut so many corners to save money that it could never get sign-off.

    New builds are generally poor quality construction, and we generally rely on BR to force builders to do the basics properly - if this checking system hasn't been followed then you just don't know what is there.
    • leon103
    • By leon103 11th Apr 18, 10:28 PM
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    leon103
    • #5
    • 11th Apr 18, 10:28 PM
    • #5
    • 11th Apr 18, 10:28 PM
    You need to get prepared for when the vendor turns around in a few weeks time and says that they won't/can't get BR sign-off. Personally I would definitely walk away now and not even wait for this - I would definitely never accept indemnity insurance against this if they offer it.

    I can't think of any acceptable reason why a 12 yr old house wouldn't have sign-off, particularly if it's a supposedly reputable builder. The only job I've worked on that had this was the director's own house, and he cut so many corners to save money that it could never get sign-off.

    New builds are generally poor quality construction, and we generally rely on BR to force builders to do the basics properly - if this checking system hasn't been followed then you just don't know what is there.
    Originally posted by ComicGeek

    Thanks for the reply. The more i read the more concern we feel. We don't mind waiting to see if they can get building regs. We are buying from a neighbour so know the house and how it's been over years etc. To us it all appears in excellent order which then brings back the question why wasn't it signed off.
    • leon103
    • By leon103 12th Apr 18, 8:18 PM
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    leon103
    • #6
    • 12th Apr 18, 8:18 PM
    • #6
    • 12th Apr 18, 8:18 PM
    Sorry for another silly question in relation to the covenant.
    Am I right that the only people that can contest the house being there are the vendor named on the conveyance which was a building company from Birmingham and dated 2979, or their successor in title. Are the successor in title those that own properties on the estate?
    • the_r_sole
    • By the_r_sole 12th Apr 18, 8:54 PM
    • 2,615 Posts
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    the_r_sole
    • #7
    • 12th Apr 18, 8:54 PM
    • #7
    • 12th Apr 18, 8:54 PM
    No building regs on a 2006 house, that's actually amazing they got away with that!
    Wouldn't even be considering it, reputable builder or not.
    • leon103
    • By leon103 12th Apr 18, 9:09 PM
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    leon103
    • #8
    • 12th Apr 18, 9:09 PM
    • #8
    • 12th Apr 18, 9:09 PM
    No building regs on a 2006 house, that's actually amazing they got away with that!
    Wouldn't even be considering it, reputable builder or not.
    Originally posted by the_r_sole


    Not even with with retrospective planning regs?
    • the_r_sole
    • By the_r_sole 12th Apr 18, 9:32 PM
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    the_r_sole
    • #9
    • 12th Apr 18, 9:32 PM
    • #9
    • 12th Apr 18, 9:32 PM
    Not even with with retrospective planning regs?
    Originally posted by leon103
    Not for me, have seen enough bad work covered up or hidden from inspections over the years to be worried when no inspection has ever been done and no permission ever sought.
    Retrospective regs can be quite difficult to achieve and can involve a fair bit of opening up so the seller might not want to go down that route. Certainly a huge amount of work and expense compared to indemnity policies
    • leon103
    • By leon103 12th Apr 18, 9:37 PM
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    leon103
    Not for me, have seen enough bad work covered up or hidden from inspections over the years to be worried when no inspection has ever been done and no permission ever sought.
    Retrospective regs can be quite difficult to achieve and can involve a fair bit of opening up so the seller might not want to go down that route. Certainly a huge amount of work and expense compared to indemnity policies
    Originally posted by the_r_sole

    We will see. They are our neighbours and they have just returned from a break so will see what they say. Without it they will struggle to sell due most people needing mortgages.

    Would anyone re- negotiate on the price?
    • leon103
    • By leon103 12th Apr 18, 9:53 PM
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    leon103
    Going back through the emails from the solicitor it appears just the completion certificate is missing. It may be the case of that various stages were signed off but not the completion
    • leon103
    • By leon103 13th Apr 18, 7:33 PM
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    leon103
    Spoke to sellers who are happy to get building consent. Seller believes a completion certificate was issued and she believes was in a box of paperwork that her ex took when she bought him out.
    • leon103
    • By leon103 26th Apr 18, 10:54 PM
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    leon103
    despite my above post things aren't going so well. despite what the seller said the reply from their solicitor is that they won't being applying for retrospective planning control so we have replied saying without it we aren't proceed. disappointment is an understatement
    • Slinky
    • By Slinky 27th Apr 18, 8:19 AM
    • 5,613 Posts
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    Slinky
    Are you only wanting this particular house otherwise you won't move? Are you in a chain?

    Patience could be the key here. If you won't proceed without the certificate, there are plenty of others (myself included) who won't either. This one may come back to you after a few fruitless months have passed. Let the vendor know you are still interested if they can get the certificate.

    A few months from now you could be buying it at a further reduced price if you play your cards right.
    • leon103
    • By leon103 27th Apr 18, 10:56 AM
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    leon103
    we have a sale agreed for our house. no chain on that end. we had a great deal on the sale hence why we are pushing for this hiuse. we live in a rural location and there is nothing else that ticks all of our boxes within budget.

    The seller text this morning and we pointed out that we won't move without it and she is adamant that there is one and her ex destroyed all paper work prior to leaving. she said she didn't tell her solicitor that she wouldn't get the certificate. although she has since come back saying that our solicitor isn't concerned. argh I hate liars.

    nevertheless they are ploughing through the list of work that they agreed to complete. painters and electrician there today.
    • betsie
    • By betsie 27th Apr 18, 11:33 AM
    • 425 Posts
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    betsie
    Can!!!8217;t you contact building control at your local council to see if it was signed off. They will have all the details and if it is signed off it!!!8217;s no big deal to get a new cert. if it isn!!!8217;t signed off but checked upto a certain point they can advise further - it maybe that it was only something minor left to complete to get it signed off.
    • leon103
    • By leon103 27th Apr 18, 11:43 AM
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    leon103
    not really my role, it should be them doing it, but I will check now. it came up on local searches that there isn't a cert so I guess the local authority don't have it
    • davidmcn
    • By davidmcn 27th Apr 18, 11:44 AM
    • 9,329 Posts
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    davidmcn
    Can't you contact building control at your local council to see if it was signed off. They will have all the details and if it is signed off it's no big deal to get a new cert. if it isn't signed off but checked upto a certain point they can advise further - it maybe that it was only something minor left to complete to get it signed off.
    Originally posted by betsie
    Bear in mind that contacting the council will invalidate the existing indemnity insurance.
    • leon103
    • By leon103 27th Apr 18, 12:28 PM
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    leon103
    Bear in mind that contacting the council will invalidate the existing indemnity insurance.
    Originally posted by davidmcn
    Yeah I know. it's worthless to us anyway.

    The woman I needed wasn't in until monday
    • leon103
    • By leon103 27th Apr 18, 12:59 PM
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    leon103
    Bear in mind that contacting the council will invalidate the existing indemnity insurance.
    Originally posted by davidmcn
    On that point. how does the insurance company and/or the seller find out if someone has enquired. I doubt the council would him out and take action. sounds like there is one person doing all of building control
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