No management company in estate. How bad can it be?

athtrasna

mrwhite2 wrote: »

This is a very good question. As far as I can see all purchases were for cash. Amazing location so I guess people had cash in boom

if properties were sold a management company would have had to have been set up. Typically the developer will remain director of the management company until the last unit is sold.

mrwhite2

athtrasna wrote: »

if properties were sold a management company would have had to have been set up. Typically the developer will remain director of the management company until the last unit is sold.

He has gone bust so the liquidator owns the land. They have no interest in getting involved as the developer gave away or sold most of the sites and houses

athtrasna

So has the management company been struck off? A check on cro.ie might reveal the status...management companies are generally registered as Development Name Management Company Ltd.

mrwhite2

athtrasna wrote: »

So has the management company been struck off? A check on cro.ie might reveal the status...management companies are generally registered as Development Name Management Company Ltd.

There is no management company as it was struck off when developer went bust. In the meantime it suits the residents as no fees and no one liable. Solicitors don't want to touch but others have said problem so big eventually government will have to sort out. Already a recent court case forced local county council to take an estate in charge.

athtrasna

mrwhite2 wrote: »

There is no management company as it was struck off when developer went bust. In the meantime it suits the residents as no fees and no one liable. Solicitors don't want to touch but others have said problem so big eventually government will have to sort out. Already a recent court case forced local county council to take an estate in charge.

I really wouldn't go near it with a barge pole. It's not as simple as no fees and the government "sorting it out". No solicitor worth their salt would let you buy in that development and with very good reason.

mrwhite2

athtrasna wrote: »

I really wouldn't go near it with a barge pole. It's not as simple as no fees and the government "sorting it out". No solicitor worth their salt would let you buy in that development and with very good reason.

Of course solicitors are advising that but people are snapping up bargains. That's my main point here. How bad can it be. If u buy with a discount and factor in costs in the future in the 10k region. Some People have lived here for 10 years with no issues. There really is so few options arround our locality and this area is special to me having lived here for 15 years.

ABajaninCork

mrwhite2 wrote: »

Of course solicitors are advising that but people are snapping up bargains. That's my main point here. How bad can it be. If u buy with a discount and factor in costs in the future in the 10k region. Some People have lived here for 10 years with no issues. There really is so few options arround our locality and this area is special to me having lived here for 15 years.

Your desperation to buy this house is clouding your judgement. We've told you over and over.

• The estate is a ticking time bomb wrt sewage. That alone should have you running away. Nobody knows when, how and the cost of fixing the pump. More worryingly - nobody seems to want to do anything about it. From what you've posted, the residents think the council will come in on their white chargers to put things right...
  
• There's no street lights. Major security issue right there.
  
• The estate has not been taken in charge by the CC. Neither is it likely to be until the estate is in a suitable position to be taken on.

BTW - you've factored in costs of 10k. Where did you get this figure from and what will it cover? Do/will you have this sum set aside?

What are you paying your solicitor for if you're going to ignore the advice given??

D3PO

fools and their money are easily parted ......

Surely this thread has run its course. EVERYBODY says its a bad idea and the OP isn't listening. So really what is the point of this ?

Roselm

Im not sure if ye are buying without needing a mortgage? My mother was going to buy a similar sounding place outright-no mortgage but was told a bank wouldnt approve a mortgage for such a property so IF she ever needed to it would be nearly possible to sell...

riclad

WELL in dublin theres a few managed estates ,but you,d expect a good discount on the house price as you have to pay x grand per year ,on top of your mortgage.

DO not buy this house,
this is a really bad deal.

MAYBE look at an older house in the area,or a cheap apartment.

the_syco

D3PO wrote: »

fools and their money are easily parted ......

Gawd dang-it; I was hoping to use that line :pac:

mrwhite2 wrote: »

Of course solicitors are advising that but people are snapping up bargains. That's my main point here. How bad can it be.

VERY F**KING BAD.

That's how bad. We've been telling you, but you are not listening. You say other people are buying the properties? Well, other people have bought shoebox apartments for €300k without a second thought. Doesn't mean it's very clever?

mrwhite2

D3PO wrote: »

fools and their money are easily parted ......

Surely this thread has run its course. EVERYBODY says its a bad idea and the OP isn't listening. So really what is the point of this ?

The point is why is so little known about what can happen. Lawyers don't want hassle so easy to say no. Arround here this problem is everywhere . For the country to move on something will have to be done. Despite searching online I can't find 1 case of councils etc charging residents. I have been sensible and waited watching others buying houses etc which is hard with a young family and having saved for years. There really is so few alternatives I have to consider this fully. There is so many people involved in this hard to see political will to evict or charge residents

ABajaninCork

mrwhite2 wrote: »

The point is why is so little known about what can happen. Lawyers don't want hassle so easy to say no. Arround here this problem is everywhere . For the country to move on something will have to be done. Despite searching online I can't find 1 case of councils etc charging residents.

There's a reason for that...

mrwhite2 wrote: »

I have been sensible and waited watching others buying houses etc which is hard with a young family and having saved for years. There really is so few alternatives I have to consider this fully. There is so many people involved in this hard to see political will to evict or charge residents

So why are you looking to jump in with both feet, KNOWING there are serious problems? It beggars belief!!

Even your solicitor has raised concerns, and you're STILL not taking the advice on board. Throw away your money if you really must. But you can't say you weren't warned.

StillWaters

Councils have charged residents. Private roads are resurfaced by Councils regularly and the cost is then borne by the residents. I know of a case recently where is cost €6000 per household (rural road). This will be no different.
I have no idea of the cost of fixing the sewerage, but it will have to be borne by the residents, not the Council or Irish Water.

If the house is very cheap and you have the cash to buy and have an idea of how much it will cost to fix, it may very well be a bargain.

The_Conductor

How much is it going to cost- and how many people might this be apportioned between? Is the Management Company still legally constituted? How do you feel about issuing legal judgements and putting legal mortgages on your new neighbours properties?

D3PO

mrwhite2 wrote: »

. Lawyers don't want hassle so easy to say no.

Laywers are duty bound to infom you of the issues. Its no hassle for them if you decided to jump in with both feet afterwards. They don't have to deal with the sh*t both figuratively and literally.

camphor

mrwhite2 wrote: »

This is a very good question. As far as I can see all purchases were for cash. Amazing location so I guess people had cash in boom

You said in you third post that some of those who bought in early in the estate are in negative equity. If they are in negative equity how could they possibly have paid cash?

Thoie

mrwhite2 wrote: »

Lawyers don't want hassle so easy to say no.

Just want to make sure I'm clear on this. You are paying a professional for their time and expertise. Their professional advice doesn't match what you want to hear, so you've come on the internet to ask a bunch of strangers with no verifiable qualifications to agree with you.

If your doctor said the red pills will make you better, but the blue pills taste of sunshine and fluffiness and will kill you, which would you take?

angelfire9

You could easily be talking about the estate I live in
Developer gone into liquidation
Snag list a mile long waiting to be sorted
The development bond was lodged with Anglo Irish and is therefore now gone
No street lights in a big chunk of the estate
Sewage pump gone

No management company, the residents association organises the grass cutting & general tidying up

BUT under health & safety legislation the sewage is emptied every 6 weeks by the council
We are in talks with the council to get the lights fixed

jam_mac_jam

You are mad to be even considering in buying somewhere that has sewage issues. Whatever about putting up with no streetlights

valleyoftheunos

mrwhite2 wrote: »

The point is why is so little known about what can happen. Lawyers don't want hassle so easy to say no. Arround here this problem is everywhere . For the country to move on something will have to be done. Despite searching online I can't find 1 case of councils etc charging residents. I have been sensible and waited watching others buying houses etc which is hard with a young family and having saved for years. There really is so few alternatives I have to consider this fully. There is so many people involved in this hard to see political will to evict or charge residents

Buying this house is just about the least sensible thing you could do at this point, there are two reasons for this.

1) there is no way of knowing that the council or anybody else will sweep in to magically solve all the estate's problems for free. It literally might never be fixed.

2) "The day you buy is the day you sell" remember that the house you buy and all its issues is the same house with its issues that you are someday going to try and sell. As evidenced by this thread most people would not buy a house in the circumstances you describe meaning that if you buy it you may be stuck with it for a very long time. Longer than you want it.

OP it sounds as though you have found a cheap house in an area you want to live in and desperately want it to be a good deal but the fact is it is not, walk away and look for a different house or a different area.

riclad

BUY a good house in a good area ,at a fair price ,
THEN you can sell it in 3 or 4 years ,if you decide i really need to live in area x.

there,s loads of people who were brought up in rathmines,

THE chances of their children being able to buy a house there is close to zero.
unless they inherit a house.
IT sounds like a very nice area , with few houses on the market.

UNfortunately its not always possible to live uin the area you grew up in.
WHAT will probably happen in that area is the problem will need to be fixed,it will cause a health hazard,or flooding .
THE owners of houses will have to pay for it either to a private company, water company,or pay 1000,s to the council,

THERE was a item on rte 1 radio 10am,
about an estate in donegal,

with a sewage problem,
it sounds awful .
problem has being going on for years,
meanwhile children cant play in certain areas.
its not a ghost estate ,its under council control.

Sounds like it could be years before that sewage problem might be fixed in the estate ,
you are considering ,buying a house in.

mrwhite2

Thanks for all the comments. I am not stupid enough to dive in hense asking around. Situation is crazy found out estate beside is the same and it was built by same builder 12 years ago and still has no management company. Lots of unanswered questions.
Why did the council grant planning for a second phase before first finished? Are they not negligent!
I found out that the council are happy as things are.They know about sewage problem but as it leaks away into local streams its not visible. They told residents if you report it we will sue you. I guess they don't want to get in a battle as politically unpopular and will bring up issues about their planning such as in priory hall case.
The council are happy at moment as no fuss and residents are happy as no visible problems and as no management company no fees. Only unhappy people are those wishing to buy or sell.

Santa Cruz

mrwhite2 wrote: »

Looking at buying a house in an estate with no management company. Solicitor doesn't like it. There is some site issues but I can live with no street lights etc. Main problem is sewage pump doesn't work however it does run away. Technically the resident could be liable for the work to fix the pump but they all say how can they enforce payment.
I have stalled on sale waiting to see what happens, ie will it get sorted out as people do want to start a management company. I have an attachment to the area and there is a lack of other homes available for my new family. A friend bought one and is loving it as it really is a nice area. All the other residents seem to think the council or someone will eventually fix the problems
Am I over cautious ?

"Am I over cautious "

No. Get in your car and get as far away as possible. Have you heard of Priory Hall etc.
If you purchase you have no one else to blame. Heed the signals coming from this set up.

athtrasna

mrwhite2 wrote: »

I found out that the council are happy as things are.They know about sewage problem but as it leaks away into local streams its not visible.

:eek::eek::eek:

I'd be straight onto the EPA, that's a totally unacceptable situation that is damaging to the local environment and could have serious consequences down the line.

odds_on

I've read the first few posts and then jumped to the last one.

OP, if you are willing to spend probably quite a considerable sum on buying a house on an estate where there should be a management company AND you are prepared to pay another 5k/10k/15k or more when thing go bad, then go ahead and buy. And you might expect to pay another large lump sum later on.

The price seems too good to miss such an opportunity? Then why haven't all the houses in the estate been snapped up - simply because most people can anticipate problems down the line plus the difficulty of trying to sell a property where a management company is non-existent or in financial difficulties.

jetfiremuck

I'd go ahead and buy. Its a great opportunity. the fact that you see agood deal and can make it work is excellent. I'd negotiate the best price i can and budget 10-15 k emergency if it happens, Id take my chances. The fact that property tax, water tax is being applied everywhere you can bet that people will demand that cc will take care of these estates. For what it's worth management committees are hit and miss. I'd rather take responsibility for my own as much as possible. Go for it,you'll regret later when it starts to come back.

ABajaninCork

jetfiremuck wrote: »

Go for it,you'll regret later when it starts to come back.

Too bloody right the OP'll regret it - When the sewage starts backing up! :eek:

Grolschevik

Hoping for a council or government rescue worked out really well in Priory Hall...

jetfiremuck

ABajaninCork wrote: »

Too bloody right the OP'll regret it - When the sewage starts backing up! :eek:

Hasn't happened yet,,,,