Adverse Possession of Land: What Landowners and Applicants need to know
Adverse possession is a method of acquiring legal title to land by occupying it without the permission of the legal owner.
It is also used by landowners seeking to remedy their boundaries where legal title does not match up with the land occupied. This is particularly common with rural properties subject to historic conveyances where the plan attached to a conveyance was not clear. It is also relevant when a landowner, builds a physical boundary which extends into their neighbour’s property. If that boundary remains in place for many years, the party who erected the boundary may be able to extend their title to include the additional land now enclosed, thus depriving their neighbour of land which they may have purchased.
The exact criteria that must be fulfilled in order to succeed in such an application is set out below:
Key legal requirements:
HM Land Registry rules confirm the following criteria must be fulfilled in order to make an application.
- Length of occupation – the applicant must be in occupation of the land for at least 10 years in the case of registered land (at the Land Registry), or 12 years for unregistered land.
- Factual and exclusive possession – the applicant must have exclusive physical control of the land. Case law has confirmed that the applicant may be expected to demonstrate a reasonable belief that they own the land (Rowlands v Bishop [2023]). This requirement can be met by evidence of acts of maintenance on the land and showing that the land is physically enclosed.
- Intention to possess the land without the landowner’s consent – for possession to be truly ‘adverse’, it must be without the true legal owner’s consent. It is not possible to be in adverse possession if consent to occupy the land (such as by way of a licence or tenancy, orally or in writing), has been granted by the landowner (Healey v Fraine [2023]).
Additional protection for registered landowners:
The Land Registration Act 2002 provides further protection to landowners. Landowners will be notified when an application for adverse possession of their land has been made and given the opportunity to serve a counter-notice in response to it. Assuming the counter-notice opposes the application, the application will only proceed if the applicant is able to rely on one of three conditions:
- Estoppel – the applicant would need to show that it would be “unconscionable” for the registered owner to dispossess them. For example, the registered owner encouraged or allowed the applicant to believe they owned the land.
- Other rights to the land – the applicant can show they are entitled to be registered as the owner of land for some other reason (under a Will, for example).
- Reasonable mistake as to the boundary – the applicant reasonably believed they owned the subject land, and owns land adjacent to it. This is the most common condition relied upon.
Adverse possession and boundaries:
A more appropriate application may be for the boundary to be determined or for a boundary agreement to be entered into with a neighbour, depending on the size of the land, whether it falls within the registered title or not, and whether there is a dispute as to ownership.
Title plans of all registered titles show the general position under Section 60(1) of the Land Registration Act 2002. In order to plot the exact line of the boundary on the ground, a specialist boundary surveyor should be instructed.
Legal presumptions exist in relation to the ownership of particular boundaries such as hedges and ditches, roadways, and riverbeds. However, these are all presumptions which can be rebutted by contrary evidence.
Practical Tips for Landowners:
- If a landowner discovers that someone has encroached on their land without permission, this amounts to a legal trespass. The landowner can either take steps to remove them or formalise their occupation by giving permission (which means their occupation can no longer be ‘adverse’). Injunction proceedings may be required in the most severe cases of trespass.
- Landowners, especially those who own large parcels of land that are not always monitored or maintained, should inspect their sites regularly to ensure the boundaries are where they should be and there are no encroachments by neighbours. Records of inspections should be kept as these can prove to be useful evidence in the event of a dispute.
- Landowners should ensure their addresses are kept up to date at HM Land Registry. The Land Registry will notify landowners if their land is subject to a claim for adverse possession in writing and give the owner a short period of time to respond. Failure to respond in time may result in the occupier’s application being successful. Legal advice should be obtained in order to respond to an application, with registered landowners making use of the counter-notice provisions, if possible.
- In addition, landowners can register a property alert against the land and/or adjoining land via HM Land Registry. This way, when a party registers some form of notice against that land, landowners will be notified automatically via email, and thus given the opportunity to take action in response.
Adverse possession may seem daunting, but understanding the rules and safeguards can help landowners and applicants navigate the process effectively. By staying vigilant and seeking the right advice, you can protect your property rights or pursue a claim where justified.
To find out more, contact Caroline Vernon.
Renter’s Rights Bill Introduced: What this means for Tenants and Landlords
What is the Renter’s Rights Bill?
The RRB is a proposed law designed to improve stability for tenants in the private rental market. It introduces several significant changes that landlords and tenants should be aware of.
Key changes in the Renter’s Rights Bill
1 – Removal of section 21 evictions and fixed term tenancies
The RRB will abolish the ability, for both existing and new tenancies, to evict a tenant on a “no-fault” basis by serving a notice under section 21 of the Housing Act 1988 (“HA”). Landlord’s will have to provide a reason to be able to evict a tenant in future.
Assured shorthold tenancies (ASTs) will be abolished and will be replaced by tenancies that are periodic i.e. month to month so that tenants will be able to stay in a residential property until they decide to end the tenancy by giving two months’ notice (aside from where a landlord seeks to evict them under one of the remaining grounds under section 8, HA 1988).
2 – Changes to Remaining Grounds for Possession
To evict a tenant and obtain possession landlords will need to rely on mandatory and discretionary grounds. A judge must award a landlord possession where they can evidence a mandatory ground, whilst discretionary grounds allow a judge to consider whether it is reasonable to award possession.
Ground 1 – where a landlord wishes to evict a tenant if they wish to move into their rented property or if they wish to move a family member into their property remains.
- Notice period extended from 2 to 4 months.
- Not available in the first 12 months of a tenancy.
- Restrictions on re-letting the property within 12 months.
Ground 1A – a new mandatory ground has been introduced to allow a landlord to evict a tenant if they wish to sell a property (or let it for more than 21 years).
- Requires 4 months’ notice and is unavailable in the first 12 months.
- Restrictions on re-letting apply.
Ground 6 – a landlord may evict a tenant where they wish to demolish or substantially redevelop the property, and this cannot be done whilst the tenant is living there, the notice required is extended from 2 to 4 months.
Ground 8 – where there are rent arrears and the landlord wishes to evict the tenant, there must now be 3 months of arrears, and the notice period required is increased from 2 to 4 weeks.
3 – Rent Increases
Rents can only be raised once a year and on two months’ notice to a tenant using the existing section 13, HA 1988 procedure. At present tenants can challenge rent increases via the first-tier tribunal (FTT). However, the RRB will give the FTT the power to determine rent.
4 – Ombudsman and Database for landlords
All private rented sector landlords will be required to register with a new independent Private Rented Sector Landlord Ombudsman.
Tenants will be able to make complaints to the Ombudsman who will be able to make binding decision which will be enforceable through both civil penalties and criminal prosecution. The Ombudsman is intended to support quicker and cheaper dispute resolution outside the court process.
A Private Rented Sector Database will also be introduced, in which landlords of assured and regulated (under the Rent Act 1977) tenancies will also be legally required to register. Landlords who fail to register on the Database may be subject to enforcement action and will not be able to get a possession order to evict a tenant.
How Will the Renter’s Rights Bill Affect You?
For Tenants:
- More security: You cannot be evicted without a valid reason.
- Predictable rent increases: Limited to once a year and subject to challenges.
- Access to quick dispute resolution: File complaints through the Ombudsman instead of lengthy court processes.
For Landlords:
- Stricter eviction rules: Ensure compliance with the new grounds and notice periods.
- Obligatory registration: Failure to register may lead to penalties and restrictions.
- Portfolio review needed: Consider acting on rent arrears, properties requiring possession, or planned rental increases before the Bill becomes law.
When Will the Renter’s Rights Bill Become Law?
The RRB is currently at the Committee stage in the House of Commons and is expected to become law by summer 2025.
By reforming tenant rights and establishing stricter landlord responsibilities, the Renter’s Rights Bill 2024 could significantly impact the UK rental market. Whether you’re a landlord or tenant, staying informed will help you adapt to these changes.
Want to find out more, contact Caroline or check out our Residential Conveyancing page.
Helping Landlords Buy Properties: A Residential Real Estate Solicitor’s Perspective
Initial Consultation and Planning
The journey begins with an initial consultation where we understand the landlord’s objectives. Are they looking to expand their portfolio, invest in a specific type of property, or target a particular demographic? Understanding these goals allows us to tailor our services accordingly, ensuring that the legal advice and support we provide are relevant and effective.
Due Diligence and Property Searches
One of the critical aspects of buying property is conducting thorough due diligence. We perform property searches to uncover any potential issues such as:
- Title Issues: Ensuring that the seller has a clear and marketable title to the property.
- Planning and Building Regulations: Verifying that the property complies with local planning and building regulations.
- Environmental Searches: Checking for any environmental risks such as flood zones or contamination.
- Local Authority Searches: Looking into any potential issues with the local council, such as upcoming developments or road schemes that could affect the property.
Contract Review and Negotiation
The next step involves reviewing the draft contract provided by the seller’s solicitor. We consider the terms to ensure they are fair and favourable to our client. We then negotiate any necessary changes with the seller’s solicitor to protect our client’s interests.
Financing and Mortgages
If the landlord is financing the purchase through a mortgage, we act for both the landlord (our client) and the lender and must balance the interest of both parties. The Law Society’s guidelines and the UK Finance Mortgage Lenders’ Handbook sets out specific requirements for solicitors in these situations.
Exchange and Completion
Once all checks are satisfactory, and both parties agree to the contract terms, we proceed to the exchange of contracts. At this point, the purchase becomes legally binding. We ensure that all documents are correctly signed and witnessed.
On the completion date, we handle the transfer of funds and ensure that the title deeds are correctly registered in the landlord’s name with the Land Registry. We also make sure that any outstanding mortgages or charges on the property are discharged.
Post-Completion Support
Our support doesn’t end at completion. We provide ongoing assistance with any post-completion issues that may arise. We also provide landlord and tenant advice via our property litigation team.
Conclusion
Helping landlords buy properties requires a meticulous approach to legal due diligence, contract negotiation, and regulatory compliance. As residential real estate solicitors, our goal is to provide comprehensive support that ensures a smooth transaction and protects the landlord’s investment. With our expertise, landlords can confidently navigate the complexities of property acquisition and focus on growing their portfolios.
To find out more, contact Shen Hussein here.
Updates to the Building Safety Act 2022
The Building Safety Act 2022 delivered changes to ensure residential buildings are constructed more safely and continue to be maintained. The Act also provides protective measures by ensuring that leaseholders are not automatically made to pay for historical safety defects meaning freeholders will not legally be able to charge leaseholders for any costs in circumstances where a building requires cladding to be removed or remediated. These are buildings over five storeys or eleven metres tall. Aside from cladding, there will be protection from costs associated with other defects such as emergency measures (waking watches).
From 1 October 2023, all new higher-risk buildings will be required to be registered with the Building Safety Regulator once a completion certificate has been issued. Until registration takes place, the properties cannot be occupied. Higher-risk buildings in England are classified as buildings that have at least two residential units and are either a height of least 18m in height or seven storeys. Failure to register is an offence and can lead to a fine, imprisonment or both.
The regulations are a welcome guidance in the construction and property sectors and increase the severity of failing to comply with the core requirements.
To find out more or see if this affects you, contact Asha Ngai.