If you’ve decided to move home, whether to escape problem neighbours or not, you’ll have to own up to any issues you’ve had with the neighbours when you’re selling your home. The guidelines are slightly grey as to what you need to declare to a prospective buyer, but there have been cases where new owners have sued previous owners for not telling them about particularly awful neighbours, so it pays to be aware of the law.
Neighbourhood Disputes
If you’ve been unlucky enough to become involved in an actual dispute with Problem Neighbours, this will have to be mentioned on the form that your solicitor sends you – called a Seller’s Property Information Form (or SPIF). What constitutes a dispute is open to interpretation but in general, if you’ve had to contact a neighbour in writing, or complain to the council or another authority about them, then the dispute will have to be declared.
Obvious examples of things that need to be declared on the SPIF are Boundary Disputes (disputes involving land or fences/hedges) or anything that involves Shared House Maintenance.
Buyers could potentially take action against you for years after the sale of the property has been agreed, so don’t just assume that once you’ve moved out, the problem has gone away if you haven’t told them.
Neighbour Rights Checker
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In some situations, it’s not necessary to mention an issue that’s come up with a neighbour. For example, if a neighbour had a penchant for having noisy parties but this is now in the past, or a problem has been dealt with amicably. Issues like children, noise and pets are also extremely subjective, so the Noise Of A Dog Barking may drive you insane but if the person buying the property also has dogs, it may be something they don’t even notice.
If you’re asked by a solicitor to give details of any disputes or problem neighbours, this is where the situation becomes more difficult, as any false information or ‘omitted information’ could lead to legal action being taken by buyers. So seek advice from your solicitor if you think that a neighbour’s behaviour could be considered problematic, and ask if they think it’s something you need to declare.
Taking Legal Action
The SPIF is legally part of the contract between you and your buyer. Because you are required by law to complete the SPIF, and because the buyer of your property is entitled to rely on the information being accurate when they buy a home, they may be able to claim against you if the sale has been completed and a problem neighbour dispute comes to life. If the contracts haven’t been exchanged when the dispute comes to light, they could pull out of the sale.
In one case in 2009, when Home Information Packs were still in force, one buyer was told by a seller that her potential new next door neighbour was 'as quiet as a mouse', and the HIPS declared that there had been no disputes with any of the neighbours.
Unfortunately, this neighbour made her life 'a living hell' with loud swearing and banging on the walls during the night. The buyer sued the seller and accused her of telling lies on the HIPS form, but lost, despite the seller admitting the neighbour in question had threatened to kill her and thrown stones at her windows in the past.
Resolve It?
If you think there's a chance you can resolve a dispute (especially when your neighbour knows you're planning to move!)...then read about how ways you can go about mediation.
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