Articles tagged with: Residential Sales

Neighbouring Development - Misleading Omission

Published on Thursday, 05 December 2013. Posted in Case Studies

Complaint

Following their third viewing, Mr and Miss B made a number of offers for the Property the last of which was accepted. Conveyancers were appointed and a survey instructed.

However, several weeks into the transaction Mr and Miss B viewed a local news programme where it was reported that a large development of 1,200 houses, a retail park and a waterside park were planned in an area 200 metres away from the Property. After further research Mr and Miss B found that the draft proposal had been made public several months before they viewed the Property. They decided to withdraw from the transaction and subsequently complained that the Agent had failed to disclose this information to them, despite stating that they had raised questions about proposed local developments during their viewings. The Agent contested that Mr and Miss B had raised such questions.

 

Mineshaft - Misleading Omission

Published on Thursday, 05 December 2013. Posted in Case Studies

Complaint

In this case, the potential buyers, Mr and Mrs A, alleged that the Agent had failed to inform them that there were environmental issues in respect of the Property and asserted that, had they been made aware, they would not have proceeded to make an offer and thereafter incurred the costs that they did.

An Undropped Kerb - Misleading Action

Published on Tuesday, 09 July 2013. Posted in Case Studies

Complaint

After purchasing the property Mr and Mrs F began to experience problems with other drivers parking in front of their property and blocking their access to the hard-standing in their front garden where they parked their car. After investigating the matter with the Highways Department, it became clear that unless the kerb was dropped, other drivers were entitled to park in such a manner which restricted access. Mr and Mrs F noted that the property particulars referred to the property as benefitting from off-street parking, yet the Highways Department had informed them that it was illegal to drive over a pavement where the kerb had not been dropped to access the space. They subsequently complained to the Agent, seeking the cost of dropping the kerb as compensation.

Freehold and Leasehold - Misleading Omission

Published on Tuesday, 09 July 2013. Posted in Case Studies

Complaint

Having purchased the property which was sold as a three bedroom detached house, the buyers, Mr and Mrs E, complained that the Agent had not informed them, either during viewings or via the particulars, that the property actually consisted of two parts; a freehold title on the former ground floor shop and a leasehold title for the former first floor flat. Mr and Mrs E also claimed that the rear garden was not included in the sale, despite it being detailed within the sales particulars.

Freehold, Leasehold or Commonhold? - Misleading Omission

Published on Tuesday, 09 July 2013. Posted in Case Studies

Complaint

Following Miss D’s offer being accepted and the memorandum of sale issued, her solicitor informed her that the tenure of the property was not freehold and was in fact a shared ownership leasehold property. Miss D subsequently withdrew from the transaction and alleged that the Agent had misdescribed the property as being freehold.

Loft not included - Misleading Action

Published on Tuesday, 09 July 2013. Posted in Case Studies

Complaint

In this case Mr C was attempting to purchase a flat with the intention of converting the loft space and letting it to a lodger to help him pay the mortgage. He was initially informed by the Agent that the loft space belonged to the flat. However, on checking the lease, his solicitor found that this was not the case and the sale fell through, by which time Mr C said that he had incurred costs in the region of £700 and sought compensation from the Agent.

Planning Permission 1 - Misleading Omission

Published on Tuesday, 09 July 2013. Posted in Case Studies

Complaint

After viewing the property and making an acceptable offer, the potential buyer, Mr A, found out through his solicitor that there were planning permission and title issues. Mr A subsequently complained to the Agent that this information had not been divulged or included in the sales particulars. The Agent argued that reference had been made to the planning issue and commented that it was not their role to investigate the title of the property.

A Festive Failing

Published on Tuesday, 26 February 2013. Posted in Case Studies

Complaint

Mr and Mrs I (the prospective buyers and complainants) were due to exchange contracts on the property two days before Christmas but, on the day of the exchange, it was discovered that the sellers’ proposed onward purchase had suffered flood damage and was the subject of an insurance claim. Although Mr and Mrs I’s money was in place with their solicitor in readiness for exchange, given that the sellers were elderly, Mr and Mrs I did not wish for them to have to move into a water damaged property in the middle of winter. They agreed to postpone the exchange and completion until after Christmas. However, three weeks after the holidays the Agent contacted Mr and Mrs I to inform them that the sellers had accepted another offer and would not be proceeding with them. Mr and Mrs I immediately complained that the Agent had failed to keep them updated.

A Clear Description

Published on Tuesday, 26 February 2013. Posted in Case Studies

Complaint

Mr and Mrs F, the buyers, complained that throughout the sales particulars the Agent had misdescribed the property as benefitting from double-glazing, when in fact, it did not. Mr and Mrs F stated that they had relied on this incorrect information when purchasing the property and considered that the Property Misdescriptions Act had been breached, directly resulting in them facing an estimated bill of £6,000 to install double-glazing after discovering the error after moving in.

Learning Points from the CPRs Cases

Published on Tuesday, 26 February 2013. Posted in Case Studies

Learning

The Consumer Protection from Unfair Trading Regulations 2008 (CPRs) require agents to take a different approach to disclosure of information about properties they are marketing from what is considered acceptable practice under the Property Misdescriptions Act 1991.

 

CPRs Case 5 - Title Issue

Published on Tuesday, 26 February 2013. Posted in Case Studies

Complaint

Following the successful completion of the transaction, Miss E, the buyer, complained that the Agent did not disclose their financial interest in the property which had led to delays resulting in additional solicitor fees. The Agent denied that they held a financial interest in the property.

CPRs Case 4 - Parking Space Included?

Published on Tuesday, 26 February 2013. Posted in Case Studies

Complaint

This was a complaint concerning non-disclosure of information where the potential buyer, Mr D, alleged that the Agent knew that there was a dispute over the ownership of the parking space at the property but said nothing, resulting in a long drawn out transaction from which Mr D eventually withdrew.

CPRs Case 3 - Shared Ownership

Published on Tuesday, 26 February 2013. Posted in Case Studies

Complaint

Upon discovering that the property had shared ownership, the potential buyer, Mr C, withdrew from the transaction and raised a complaint against the Agent alleging that the property had not been described correctly.

CPR's Case 2 - Damp Descriptions

Published on Tuesday, 26 February 2013. Posted in Case Studies

Complaint

Following completion Mr and Mrs B raised a complaint that the Agent had not divulged that the property suffered from severe damp and a leaking boiler despite this information being previously known as a result of a survey carried out by previous potential buyers and from conversations the Agent had held with the neighbour occupying the adjoining property which was also being affected by the problem. Mr and Mrs B also asserted that staff at the Agent’s office had encouraged them to commission a standard home buyer survey which, in the event, did not highlight the damp or boiler issues.

CPR's Case 1 - Non-Traditional Construction

Published on Tuesday, 26 February 2013. Posted in Case Studies

Complaint

Mr and Mrs A were potential buyers who had to withdraw their offer when their building society (which had already agreed a mortgage in principle) refused to lend on the property because the survey revealed it to be of a non-traditional ‘rendered’ concrete construction. Mr and Mrs A argued that the Agent should have informed them of this information at an early stage to have enabled them to have checked with their building society before incurring the expense of a survey. The Agent’s response was that the situation had occurred because Mr and Mrs A were limited, due to their age, to using a specialist lender. The Agent also pointed out that they had sold similar houses on the same development (including, subsequently, the property in question) and the construction of the properties had not been an issue.

Sole Selling Rights

Published on Tuesday, 02 October 2012. Posted in Case Studies

Complaint

The Sellers had by their account incurred dual fees from the Agent complained of and their previous agent. They had paid the Agent’s commission fee but complained that the Agent was due only 50% of the fee as they had only completed ‘half a job’ of selling the property.

Ready Willing & Able (Case 3)

Published on Tuesday, 02 October 2012. Posted in Case Studies

Complaint

In this case the unsuccessful Seller argued that the Buyer introduced by the Agent was not prepared to unconditionally exchange contracts. The Agent’s response was that the signed agency agreement stated that a buyer was ‘ready, willing and able’ if they were prepared and able to unconditionally exchange contracts, which they considered the Buyer was.

Ready Willing & Able (Case 2)

Published on Tuesday, 02 October 2012. Posted in Case Studies

Complaint
The potential Seller complained that the Agent had charged them a commission fee that they were not entitled to as the Buyers introduced could not be considered ‘ready, willing and able’, underlined by the fact that the transaction had not completed.

Ready Willing & Able (Case 1)

Published on Tuesday, 02 October 2012. Posted in Case Studies

Complaint

The potential Sellers complained that the Agent had charged them a commission fee that they were not entitled to as the property had not been sold. The Agent responded by providing a short explanation simply stating that they had introduced a ‘ready, willing and able’ buyer and, therefore, were due a fee regardless of whether the property had sold.

Monitoring the Transaction

Published on Tuesday, 02 October 2012. Posted in Case Studies

Complaint

Following the completion of the sale, the Sellers complained that the Agent had not financially qualified the initial Potential Buyers (causing them inconvenience in having to withdraw from the transaction) or chased and monitored the progress of the eventual Buyers’ mortgage offer (causing them further inconvenience). The Sellers also complained that the lack of updates received from the Agent had caused them to incur unnecessary cost in having to place their belongings in storage because a completion date was not achieved.