When purchasing property in Epsom and the surrounding areas, buyers often focus on location, price, and physical attributes while overlooking crucial legal aspects such as property covenants. As experienced estate agents in Epsom regularly advise their clients, understanding property covenants before completing a purchase is essential to avoid unwelcome surprises after you’ve received the keys. This guide explores what property covenants are, how they affect homeowners, and what prospective buyers should look out for.
What Are Property Covenants?
Property covenants are legally binding restrictions or obligations that are attached to a property and recorded in the title deeds. They typically fall into two main categories:
Restrictive Covenants:
These prohibit certain activities or uses of the property, such as:
- Restrictions on building extensions or outbuildings
- Prohibitions against running businesses from the property
- Limitations on keeping certain animals or livestock
- Requirements to maintain particular aesthetic features
- Restrictions on parking commercial vehicles or caravans
- Prohibitions against altering the property’s external appearance
Positive Covenants:
These require property owners to perform specific actions, such as:
- Maintaining shared access ways or boundaries
- Contributing to the upkeep of communal areas
- Preserving certain features of the property
- Paying service charges for estate maintenance
The Legal Status of Covenants:
Understanding the enforceability of covenants is critical:
Covenant Enforcement:
- Covenants typically benefit and bind subsequent owners, not just the original parties
- They can be enforced by neighbours, developers, or management companies
- Enforcement often involves court proceedings for injunctions or damages
- The enforceability of very old covenants may be questionable in some circumstances
Duration and Discharge:
- Most covenants continue indefinitely unless specifically limited
- Some can be modified or discharged by:
- Agreement with the benefiting party
- Application to the Upper Tribunal (Lands Chamber)
- Demonstrating the covenant is obsolete or unreasonable
Common Covenants in Epsom Properties:
The Epsom area has several distinctive covenant patterns reflecting its development history:
Estate Covenants:
Developments like Noble Park, Epsom Downs, and West Park Hospital redevelopment often have extensive covenant schemes designed to maintain the character and amenities of the estate, including:
- Restrictions on extensions and alterations
- Requirements for consistent fencing or hedging styles
- Controls on external decorative schemes
- Prohibitions against satellite dishes on front elevations
- Maintenance obligations for communal areas
Conservation Area Considerations:
Properties in Epsom’s conservation areas, such as Stamford Green or Woodcote, may have additional covenants complementing planning restrictions, including:
- Requirements to maintain period features
- Restrictions on window style changes
- Controls on external paint colours
- Limitations on demolition and rebuilding
New Build Specifics:
Recently built properties, particularly on sites like the Epsom Hospital cluster or Clarendon Park, often feature covenants that:
- Prohibit further development for a specified period
- Restrict subdivision of plots
- Control the installation of hard landscaping
- Set requirements for maintaining drainage systems
- Establish management company arrangements
How Covenants Impact Homeowners?
The practical implications of covenants can be significant:
Property Development Restrictions:
Covenants can limit your ability to:
- Build extensions or conservatories
- Convert garages to living space
- Create additional parking areas
- Install outbuildings or garden rooms
- Change external materials or appearances
Lifestyle Limitations:
Some covenants may affect your intended use of the property:
- Restrictions on working from home beyond clerical activities
- Limitations on keeping certain pets or numbers of animals
- Controls on hosting events or activities that might disturb neighbours
- Prohibitions against letting the property for short-term stays
- Restrictions on parking recreational vehicles
Financial Obligations:
Positive covenants can create ongoing financial commitments:
- Estate management charges
- Contributions to private road maintenance
- Payments for upkeep of communal gardens or facilities
- Insurance requirements for certain structures or features
- Responsibility for boundary maintenance
Due Diligence for Prospective Buyers:
Before committing to a property purchase in Epsom, consider these steps:
Pre-Offer Considerations:
- Ask the estate agent about known covenants
- Review the property listing for mention of unusual restrictions
- Consider whether your intended use might conflict with common restrictions
- Look for visual clues about estate regulations (uniform boundaries, consistent appearances)
Conveyancing Process:
Once your offer is accepted:
- Ensure your solicitor thoroughly reviews the title documentation
- Specifically ask about covenants that might affect your plans
- Request clarification on any ambiguous covenant wording
- Consider whether indemnity insurance might be appropriate for risky covenants
- Ask about the practical enforcement history of any covenants
Post-Discovery Options:
If problematic covenants are discovered during the purchase process:
- Consider negotiating a price reduction to reflect the limitation
- Investigate the cost and likelihood of success of an application to modify the covenant
- Assess the practical risk of enforcement based on local circumstances
- Explore whether indemnity insurance is available and at what cost
- Consider whether the covenant makes the property unsuitable for your needs
Covenant Insurance:
In some situations, insurance can provide protection:
Indemnity Insurance Options:
- Cover is available for known but theoretically unenforceable covenants
- Policies can protect against financial loss if enforcement is attempted
- One-time premium provides coverage for the ownership duration
- Coverage can often be passed to subsequent purchasers
- Premiums vary based on risk, typically £200-£800 for residential properties
Conclusion:
Property covenants represent a significant but often overlooked aspect of property ownership in Epsom. Understanding the restrictions that apply to a property before purchase allows buyers to make fully informed decisions and avoid costly surprises.
Working with knowledgeable local estate agents and solicitors who understand the common covenant patterns in different Epsom neighbourhoods can help buyers navigate these complexities and find properties whose restrictions align with their long-term ownership plans.