Properties with “Glebe “and“Tithe” in their name may sound appealing, but there may well be an “ecclesiastical surprise” buried deep in their title deeds, warns one leading commercial agent.
Traditionally, properties built on church land — Glebe was an area of land used to support a parish priest — had a clause written into their deeds demanding that owners make a contribution to local church repairs. That ended last October when churches had to register their interest in specific properties or lose their right to claim.
“A potential liability still exists, however, for owners who have not sold their property since the 12 October, 2013, deadline,” says Simon Toseland (pictured), a director at Northampton-based commercial agent Prop-Search. “Even if a chancel repair liability is not registered on the title of a property it does not necessarily means that a property is not affected.”
Churches which registered an interest prior to last year’s amendment to the Chancels Repair Act can still make a claim against an affected property owner. But churches which did not register by the deadline are still able to claim until the property changes ownership, at which point the church’s ability to register its claim will end.
Since October different rules apply, adds Toseland, depending on the circumstances of the property or land changing hands.
Where a property is transferred and no money changed hands — such as a property transferred as a gift or as part of an inheritance — the new owner may still take the land subject to the chancel repair liability even if the liability is not protected by notice on the Land Registry title.
In contrast, a transfer of a property for value — where some form of consideration or payment was made — entitles the new owner to take the property free from any chancel repair liability, unless the liability is already protected by notice on the property’s Land Registry title.
“A chancel repair liability can be a costly affair,” said Toseland, who cites one high-profile wrangle following the inheritance of a Warwickshire property which landed a couple with a £95,000 parish council bill for repairs to their local church.
“After a protracted legal battle, the case ended up in the House of Lords and the couple found themselves liable for a bill for repairs, costs and both legal fees reportedly totalling around £500, 000,” he adds.
“Anyone considering purchasing land or property that may once have been owned by the church, or which contains obvious ecclesiastical references in its address, should give clear instructions to their solicitor to undertake a specific search for an antiquated covenant which requires them to contribute towards the cost of the maintenance of the local church and which,” Toseland stresses, “might well cost them thousands of pounds or even put their property at risk.”
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