Questions around purchasing an ex-council house

Smiley012

Hi all,

I was wondering if anyone has had the following experience. We have been bidding on ex-council houses, and have experienced the following issues:

1. Council would not allow house to be sold until owner was sale-agreed on another house. Owner couldn't find another house, took house down from sale.

2. Us (first time buyers) against an investor.
Council have to issue consent of sale - and are unlikely to issue consent to an investor. Therefore, investor using a family member as a name on the deeds to get around this.

Number 1 was annoying (and time wasting)

Number 2 seems unfair, but I guess as long as all the paperwork lines up, the council don't know any better.

Has anyone else experienced these sort of set backs before?

Thanks,
Eily

L1011

1 would have collapsed most private sales. 2 could be reported but unlikely to be acted on.

Ex council properties that have already been sold before don't have these restrictions anymore

4ensic15

Smiley012 wrote: »

Hi all,

I was wondering if anyone has had the following experience. We have been bidding on ex-council houses, and have experienced the following issues:

1. Council would not allow house to be sold until owner was sale-agreed on another house. Owner couldn't find another house, took house down from sale.

2. Us (first time buyers) against an investor.
Council have to issue consent of sale - and are unlikely to issue consent to an investor. Therefore, investor using a family member as a name on the deeds to get around this.

Number 1 was annoying (and time wasting)

Number 2 seems unfair, but I guess as long as all the paperwork lines up, the council don't know any better.

Has anyone else experienced these sort of set backs before?

Thanks,
Eily

I know someone who was getting hit by No 2. They wrote a letter to the vendors solicitor and said that they were going to issue proceedings and would injunct the letting of the property. The solicitor passed it on to his opposite number and the sale collapsed.

Smiley012

4ensic15 wrote: »

I know someone who was getting hit by No 2. They wrote a letter to the vendors solicitor and said that they were going to issue proceedings and would injunct the letting of the property. The solicitor passed it on to his opposite number and the sale collapsed.

I guess it's just frustrating, I would probably go down that path myself. Especially as they came in with a bid phenomenally higher than our last bid. It's hard to emotionally detach yourself from these situations.

Did the person you know who went through with the solicitor letter, did they actually get the house themselves in the end?

L1011

Smiley012 wrote: »

Did the person you know who went through with the solicitor letter, did they actually get the house themselves in the end?

I can't imagine the buyers were too happy with them so you'd guess not!

4ensic15

Smiley012 wrote: »

I guess it's just frustrating, I would probably go down that path myself. Especially as they came in with a bid phenomenally higher than our last bid. It's hard to emotionally detach yourself from these situations.

Did the person you know who went through with the solicitor letter, did they actually get the house themselves in the end?

No they made a mess of it. They should have had a new bid put in in a different name but they didn't.

Smiley012

I'm contemplating withdrawing the offer we have put in, I just think it's unethical to be bid up by someone who shouldn't be bidding on the house in the first place.

Appreciate the advice guys - I guess I'll keep on looking!