Concrete Analysis | Beware of the pitfalls of buying properties with unauthorised building work or illegal alterations
- Unauthorised building work may render the property title defective, while potentially saddling buyers with repair or remedial costs
- Estate agents should remind both parties to seek legal advice before arranging for them to enter into a transaction
To protect their clients’ interests, estate agents have a duty to check whether there is any undischarged building order registered against the property. Upon learning about such illegal work or building order, estate agents should inform their clients of the government’s right of re-entry to the property.
This may render the title of the property defective, while their clients may still need to bear the cost of removing the infringing conditions, or any repair work required by the building order.
Thus, estate agents should remind both parties to seek legal advice before arranging for them to enter into a provisional agreement for sale and purchase.
I would like to share a case to remind property purchasers to seek professional and legal advice on the issue of unauthorised building work or building order before they commit to any provisional agreement.