All properties that form part of the Fairfield Park area are covered by a covenant which requires them to pay a rent charge (For more details see the section that explains the rent charge).
Scanlans Property Management LLP are the agents appointed by the Residents Company to manage the collection of the rent charge and the maintenance of the areas of responsibility.
If you wish to sell your property, the following application process will need to be adhered to:
- You must clear all outstanding amounts for the rent charge (please note any other charges such as ground rents, rent, council tax etc are not covered by the Residents Company. This is purely the rent charge).
- The solicitors who act on behalf of the buyers will then submit a Notice of Transfer to Scanlans to consent to the property being sold, together with the admin fee.
- Scanlans will then review the account.
- If the account is clear, then Scanlans will issue the Certificate of Compliance and change the account details into the new owners’ details.
- If the account is in credit, this will remain on the account. As the sellers, your solicitors will demand this credit from the new purchasers.
- If the account is in debt and showing arrears you will need to cover these BEFORE Scanlans can change the details and issue the certificate, if the debt is not cleared you will continue to be responsible for the arrears and future payments until such time.
- Once the above is complete, a Certificate of Compliance will then be issued to the new owners’ solicitors. This will then end your responsibility for the rent charge at the property.
Scanlans are of course happy to help, but your solicitors should be aware on the need for this process to be undertaken and should also be able to advise and guide you through it.
Deed of Variation
Following a change in primary legislation in 2019, UK Finance (who replaced the Council of Mortgage Lenders) decided that they would only offer mortgages on properties nationally, and in particular on Fairfield, if there was a change made to the TP1. They now require a ‘Deed of Variation’ to be written by the solicitor acting for the buyer. This ‘Deed of Variation’ is then submitted to Scanlans, to be approved by the solicitors acting for the Residents Management Company. Linden Homes act as the Residents Management Company at present, and Wilkin Chapman LLP are their solicitors.
Besides the cost of this document, the main issue is that each conveyancing solicitor writes their own Deed of Variation, and this means that a solicitor acting for the management company has to review the document.
The FPRA is working with Scanlans to streamline and speed up the process. The use of a template for the Deed of Variation should help. But if you encounter any problems or would like to ask questions about the process then the FPRA are willing to assist.
We hope that if a template ‘Deed of Variation’ is included in the sellers information pack this would streamline the process and bring down the cost. Until then Wilkin Chapman will charge £300 plus VAT where they do not draft the Deed of Variation and the Deed is in a form which they have previously agreed. They will charge £450 plus VAT where they are required to draft the Deed of Variation or they are presented one in a form that they have not previously agreed.
Scanlans have added the following to their sellers pack:-
The mortgage lender for the purchaser may require a Deed of Variation to the Transfer. This will be dealt with on behalf of the Management Company by Wilkin Chapman LLP, Solicitors of Cartergate House, 26 Chantry Lane, Grimsby, DN13 2LJ. The contact there is Rachael Dicken, whose email address is firstname.lastname@example.org. Wilkin Chapman will require payment of their fees.
Who pays this fee is for negotiation between the buyer and the seller of the property.