Building Insurance after Exchange? Who? Help!

louisdog

Hi

I am currently selling my BTL house, I accepted an offer in December and all was progressing nicely, contracts issued, etc. However the buyer has stipulated that a clause be deleted from the contract, which required them to take out building insurance on the property when we exchange contracts. Is this normal / OK? Whenever I have bought a house in the past I have insured it from exchange, and buyers have insured the house from exchange for houses I have sold in the past - not that I have bought and sold many so I don't really have much to go on! :undecided

I guess it may not matter but it just seems a bit odd, and also, what if something happened between exchange and completion, e.g. the roof blows off, assuming that completion goes ahead then will I be stuck dealing with the insurance claim for months and months? Or is it so unlikely that anything would happen, that I shouldn't worry?

I'd be very grateful for any advice anyone can offer!

Thanks
Alex

zipwen1

when i bought i only had to have insurance in place for when the sale completed.
now im selling i have been told by the mortgage company to keep my insurance until we complete.
so your guess is as good as mine

zipwen1

http://forums.moneysavingexpert.com/showthread.html?t=359604&highlight=problem+after+exchange
found this what they are doing is ok they want you to be responsible for the home insurance until completion

louisdog

Hi zipwen1, thanks for your replies, and the useful link - it sounds like it is not as unusual a situation as I first thought. If I was the buyer I think I'd want insurance from exchange to protect my own interests, but sounds like doing it the way they propose is ok too. They seem to be dragging their heels on various issues at the moment so I got a bit worried. Cheers!

zipwen1

hope everything goes ok for you