Deed of Variation - what's the process involved?

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    Deed of Variation - what's the process involved?

    I am purchasing a leasehold flat in Manchester which needs a deed of variation due to a term not being included in the original lease dated 1966 which is on a 999 year lease.

    There is a residents run management company which owns the freehold. (2 of the flat leaseholders are the directors.) The 8 flat leaseholders are the members of the management company.

    As the buyer I have nothing to do with the process.

    Around 3 months ago a draft document was produced and agreed by the owner and the management company, but as of yet does not appear to have been executed. Should it take this long?

    What does a deed of variation involve? What are the steps now required and who does what? Does a deed of variation have to be executed and paid for in some way? Will it be lodged at the Land registry?

    Any help or information would be greatly received.

    #2
    Your conveyancing solicitor should make sure this matter sorted out before you as "buyer "of the leasehold flat exchange sale contracts.

    The seller's solicitor should be asked to sort out the outstanding deed of variation

    Comment


      #3
      Originally posted by Gordon999 View Post
      Your conveyancing solicitor should make sure this matter sorted out before you as "buyer "of the leasehold flat exchange sale contracts.

      The seller's solicitor should be asked to sort out the outstanding deed of variation
      Hi Gordon999,

      This is what is happening at present (delaying completion on the sale). The vendors solicitor says he is waiting for the management company.

      The management company and vendor agreed to the D of V and a draft document agreed in principle. It now needs executing.

      But it has taken 3 months from that situation to today with no progress, so I am concerned something else may be going on in the background which I need to get to the bottom of.

      I would really like help to understand the specific steps the management company & seller & sellers solicitor are likely to be undertaking to sort the D of V out.

      Do you know what the steps are likely to be?

      Comment


        #4
        Your solicitor should be explaining this to you as it can be lengthy process to complete and explain, and it might be for reasons that only "they" know.

        I suggest you are best placed asking S to ask " why specifically has this not been completed and what are the parties planning to do to complete them and by when".
        Based on the information posted, I offer my thoughts.Any action you then take is your liability. While commending individual effort, there is no substitute for a thorough review of documents and facts by paid for professional advisers.

        Comment


          #5
          That's great advice.

          My solicitor has been in touch with the sellers solicitor but the response he is getting back is 'it is being done'.

          The sellers solicitor is being vague claiming he is waiting for the (residents) management company to sort it but not giving my solicitor any detail as to what he is waiting for.

          My solicitor doesn't want to get involved - only to have the D of V in his hand and undertake the rest of the conveyancing. He says he is unable to go to the management company directly anyway.

          The estate agent doesn't know anything about D of V and so doesn't know who to push and doesn't want to upset the seller with endless phone calls.

          The seller doesn't seem to know what to do or say to get things moving either.

          It all seems quite vague to me. The solicitors seem to have the legal knowledge to work out who is causing the delays and how to remedy them but are reluctant to communicate at the level required.

          So everybody is at stalemate. It is a bit of a catch 22 where everyone is waiting for the residents management company and they probably don't realise it or don't really care with no one willing/able to contact them, other than the seller (who also has no legal knowledge)!

          I know that D of V can be a fairly lengthy process but in my case (5 months to date in total and 3 months after draft agreed) it seems like it ought to be fairly straightforward.

          The vendor, man co and my solicitor have seen the draft and agreed to it and it just needs executing. So in that event - where everybody agrees to add the one extra clause in - what would the next steps/process be and should it take 3 months+?

          Any extra tips?

          Comment


            #6
            Yes go back to your solicitors and say "not good enough, get an answers (as above)". i suspect that they are dealing with solicitors acting for the residents on the variation and are not pushing as their job is to convey the property. Your S is wrong they can and will already have been in contact with the ManCo. I suspect neither are in fact solicitors but a conveyance team.

            No doubt your chain and mortgage offer has a time limit. That’s the stick I'll have to move on before they expire.
            Based on the information posted, I offer my thoughts.Any action you then take is your liability. While commending individual effort, there is no substitute for a thorough review of documents and facts by paid for professional advisers.

            Comment


              #7
              Hi leaseholdanswers

              I've already gone back to me solicitor to get answers - but there is still nothing concrete to work from.

              As far as I am aware the man co must have their own solicitor who is communicating with the sellers solicitor and the D of V is between the seller and the man co.

              My own solicitor isn't a conveyancing team. He is a solicitor (small sized firm) but he does't seem to be able to do anything other than chase the seller's solicitor for updates. My solicitor was supplied a copy of the draft presumably by the seller's solicitor to check that it would be acceptable for my mortgage lender.

              Is this not likely to be the case? Would there be any reason my solicitor could not go to the management company directly for updates such as conflict of interest?

              Comment


                #8
                Originally posted by jarsen View Post
                Would there be any reason my solicitor could not go to the management company directly for updates such as conflict of interest?
                nothing to stop you contacting the Management company.
                Nothing to stop you visiting the seller and explaining that if things do no progress, he wont sell his property, as you will back out and so will the next buyer

                Comment


                  #9
                  Thanks. I may well have to do that. I've been leaving that as my last resort.

                  If I have to do that I'd like to be as clued up as possible.

                  I'm still not sure though with a deed of variation what this actually is?

                  Is this a document between parties signed by the management company to agree to a change or does it involve some sort of special forms or registration at the Land Registry and will it involve the management companies solicitor to make it official?

                  I suppose my weakness at present is simply not knowing what is actually involved with a deed of variation. If I am to approach the management company or vendor directly I had better be clued up on this aspect.

                  Any advice?

                  Comment


                    #10
                    Originally posted by jarsen View Post
                    I'm still not sure though with a deed of variation what this actually is?
                    Just a piece of paper with "Deed of variation" on it stating, in your case, something like

                    ( with current addess etc etc )
                    at section 3(4) add - for example; "no washing to be placed over balcony or placed over to dry"
                    or whatever it is they wish to add.

                    Takes 15 minutes to write the covenant that they want to add to the lease

                    The actual process I cannot comment on, but 3 months is too long.

                    Solcitors acting for "The good" of the buyer cannot contact the freeholder or the managing company, which is discusting in my mind, as they cannot look after your interests, but that's how it works.

                    As said, go to the seller and ask him to TELL the residents management company to pull their finger out.
                    Not only that, you go see them as well.
                    The sellers solicitor should be able to re-write the deed in the correct format if draft is not sufficient.

                    R.a.M.

                    Comment

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