Persimmon Freehold Contract

[Erim]

Really hope someone can give me advice on this matter. I purchased a house with Persimmon that was leasehold and always had the intention to buy my freehold after two years.
However due to the fact my build ran five months behind schedule I was offered the freehold because my mortgage lender was no longer happy to give me a mortgage.
I have just received the contract and it’s shocking, it’s a TP1 and in the contract they talk about maintenance company, rentcharger, fee I’ve to pay persimmon for planning persimmon that never comes to an end. They have the right to enter my property etc.
Has anyone dealt with persimmon regarding a freehold contract, do I need to sign it on their terms or can I negotiate? They have me over a barrel as I’ve just been informed that I’m due to collect keys end of this month.

Have you actually bought the property in full?
I’m unclear why you are signing contracts after you would have purchased property.

We bought a new build (freehold) and we did have a service charge for the estate (so it maintained communal areas, gate to estate etc). We also had to get approval from developers for planning permission (but of a pain, but does also mean a neighbour can’t do an extension which is out of keeping with development). There were also covenants about what you could do with property (again majority positive people couldn’t keep old cars on driveway.

In terms of what you do now. Developers usually won’t negotiate as there contracts are standard per property.

If you haven’t actually bought property then you need to decide if this is dealbreaker and pull out. You should speak to your conveyancing solicitor about your concerns.

If you have actually purchased I would be going back to your conveyancing solicitor and asking why none of this was flagged up to you and again asking them what your options are going forward.

I purchased the property in August last year. All contracts signed as leasehold and was meant to move in December.
They are only realising my keys to me this month as build ran five month over. They have handed over my freehold as an apology and so I can get mortgage sorted again as original offer expired.
I spoke with lawyer (the one they suggested I do purchase with) and she said it’s a standard contract everyone gets.
It’s very one sided, even says if my driveways are empty they can park vehicles on it.

"It’s very one sided, even says if my driveways are empty they can park vehicles on it."
What?! Its your house, Whats the point in buying it if your drive way isnt even yours

I had to read it a few times to check it. They can also enter my property at their discretion. They need to inform me by writing to me unless it’s an emergency.

Well don’t use their recommended lawyer for a start!

We've just bought a new build (freehold) and don't have any of that, no maintenance fees and certainly nothing about them entering our property or using our drive when they feel like it! There are quite a few covenants eg we can't keep a boat on the drive, can't keep hooved animals in the garden, can't hang washing in the front garden, can't have trees over a certain height (even though the developer put in trees already above this height).

I would definitely go back to your solicitor as that doesn't sound that standard?

I wouldnt buy it personally, And something to keep in mind is when you come to sell it it could put buyers off.
I also heard never to use their recommend solicitor as they dont always disclose things, I know of someone that used recommended solicitors and ended up changing over after a while to another solicitor who flagged up it was close to a mine opening.

Hi smileandnod
I’ve got some of the same covenants as you but it’s the other ones I’m not happy with.
Think they have added them to make money out me as they are unhappy they had to hand over freehold.

Hi pretttlovely
That’s what I’m thinking as don’t want to end up trapped in a house I don’t want in the future.

The driveways thing is if they are doing maintenance and your drive is not in use, the planning permission stops people drastically changing the area, none of what you've said is especially worrying but consult an independent solicitor if you are worried.

You need to get an independent conveyancing lawyer to go through it with you. At the moment Leasehold New Builds are a bit topic. Developers are Getting round this by levying service charge payments to a management company on a Freehold basis. Have you already exchanged on a Leasehold basis, i.e with a signed Lease?

Yes I exchanged on leasehold last year and was meant to be in property December. Due to the fact the property build ran late my mortgage offer expired. I required the freehold so I could get a mortgage. I have not signed the freehold documents.
The freehold document does have some good parts but it has maintenance fee (doesn’t state how much) rentcharge (doesn’t state how much or why I need to pay a rent) and the fee to persimmon that I need to pay every time I have to ask for permission to build something or plant something. This is £250+vat and will increase every ten years.

Are you sure your mortgage offer has expired if you've already exchanged?
If it has, why was leasehold ok then but not now?
Those clauses are shocking. Especially being able to enter your home and a requirement to pay fees but not what they are. It seems odd to me that these are on the freehold contract but not the leasehold one. I've owned leasehold before and never again: it's a licence to print money- but I can't see why there are so many on a freehold- surely that's the whole point of a freehold.
I agree with pp, get your own independent solicitor. Never use the one they recommend, they almost certainly won't have your best interests at heart.

The clause about entering your home or parking on your drive will almost certainly be in connection with any works you need doing to the property. For instance if you have a problem with a water leak, then contractors will have to come out to you. Not sure how wide the roads will be on the estate, but perhaps the clause for parking on the drive is because the developer doesn't want on street parking (though how they actually enforce this once the developer has left the site I don't know).

Very much doubt you will be able to negotiate the terms. All the other properties will have similar contracts.

You need to speak to your solicitor. As it is a new build there should be a long stop date after which you should be able to revoke the contract and get your deposit back. I suspect this is the case and that is why they have offered you the freehold for nothing to keep you interested.

The clause you say sound pretty standard although £250 for permission is a bit much. £75 is often standard. I would imagine though your lease would have had all the same clauses in so I now don't see what your issue is.

Furthermore the service charge an rent charge figure will be available. Ask for them.

If you are not past the longstop date then you are contractually obliged to buy that property and if you don't you risk being liable for 10%.