Honesty is the best policy – especially when you are selling your home…
Purchasing your home is likely to be one of the biggest financial commitments that you can make, and you would like to think that you have been told everything you need to know, but unfortunately, that is not always the case.
Why Honesty is Essential
The High Court recently ruled in a case involving a £32 million London mansion, which was found to have an infestation of moths. This case provided a stark reminder as to why honesty is imperative during the conveyancing process.
The luxurious home located in Notting Hill was owned by an heiress and her husband and was purchased in 2019. Upon moving into Horbury Villa, they found that there was a disastrous infestation of moths that stemmed from the wool insulation in the property.
During the conveyancing process, the buyer and their legal representative are able to ask pre-sale enquiries, and it was during this stage that Mrs Patarkatisishvili and her husband say they were misled, and that the developer had actively failed to disclose these issues of which he was already aware.
Fortunately for the buyers, the Court agreed with their argument that the moths were vermin and that the failure to disclose their presence and the insulation problems did, in fact, amount to false information. The sale was overturned, and the developer was ordered to pay back the purchase (minus some deductions for the use of the property over the four years) plus £4 million in damages.
“Whilst not all properties have the same high value attached, it still remains critical to all transactions that sellers have to be upfront about issues that they are already aware of”, explained one of our property experts here at Howell Jones. “It is essential that sellers are prepared to be completely transparent from the beginning and throughout”.
During the sale process, there are forms that the seller is required to complete, with one of the most important being the Property Information Form (TA6). This form contains questions covering an enormous scope – from boundaries to previous works, and disputes to utility suppliers. There is even the requirement to include property issues such as mould, or if there have been incidents of pests, as well as structural issues like subsidence and community problems, including crime rates.
If issues arise after completion, then the buyer may have legal standing to challenge the sale, especially if it is proven that key information was withheld during the purchase process.
Our Howell Jones property expert added, “If you are looking to sell in the near future, ensure all the relevant paperwork is in place to confirm the background and condition of the property. If you can do this before the property is on the market, then that is even better. The documentation required can include things such as planning permissions, guarantees and certificates for windows or boilers and a record of issues with the property whether they are in hand or still a present issue. The TA6 has undergone enormous discussion in the past few years so it is absolutely key to make sure you have the most up-to-date version provided by your lawyer, as the form you received when purchasing will likely no longer be relevant”.
Contact Howell Jones for Conveyancing Expertise
Property is an enormous market, and to buy or sell is a huge investment. But budget is irrelevant when it comes to being honest, open and upfront – any divergence from this can cause delays and disrupt the sale in what is already a stressful time. Be clear and truthful, and if you are unsure, ask your legal advisor.
At Howell Jones, our expert team of conveyancing solicitors in Surrey is on hand to help. Get in touch with our Surrey solicitors today for professional guidance and support.
Please note this is not legal advice; it is intended to provide information of general interest about current legal issues.
