October 27, 2010
A landlord who was misled about the rental potential of his property has been awarded compensation.
In 2002 Portsmouth resident, Emmett Scullion, bought an apartment in Cobham, Surrey. After having it valued and surveyed Mr Scullion was informed that the property was worth £352,950 and could generate £2,000 per month in income if let.
However, after trying to rent the property the would be landlord found that he could only charge around 50 per cent of the estimated figure. He sold the apartment at a loss after only four years’ ownership.
After a long-running dispute with the firm that valued the property Mr Scullion was awarded £72,000 to cover the loss of rental income and purchase and sale costs of the flat.
Property expert, Alexandra Anderson, commented on the case: "A lot of non-professional landlords entered the buy to let market before the credit crunch. Many of them will have relied on the survey ordered by the lending bank. If the survey overvalued the rental income, they could have a similar claim."
Mr Scullion’s case may strike a cord with other property owners. If you’ve had a similar experience speak to one of our legal experts for advice on the best course of action.
