Past subsidence on a house - now fixed. A problem?

dominoman

I have put an offer on another property after previous one fell through. The offer was accepted and the searches and surveys ordered.

Today the owner told me she had has subsidence in the past, but the house was partially underpinned by her insurers and has a twenty year guarantee for the work.

I am a little aggrieved that this was never mentioned before. Should I have been told?

Is this a problem for me? Should I expect some kind of discount for the future risk of more subsidence? I am already paying 100k over the going rate for the house (as there isn't much on the market here in London) mainly because I thought the house was in good condition. Now I am worried it could cause future problems, or be hard to sell.

rrtt

The crucial thing is being able to get insurance, and this should be OK if you can get hold of the guarantee.

Having said that, 20 years from when? how long ago did the underpinning take place?

Most of London is at risk of subsidence, but you're still right to be wary. My late mother's house in N London had been underpinned but we couldn't find the guarantees. Although a surveyor brought in by us said that there'd been no movement for a number of years (ie safe after underpinning) and what had been was all historic, we had a number of buyers pull out because they said they couldn't get insurance - despite the current insurers agreeing to continue insuring the house (incl for subsidence risk) for any buyer. In the end had to sell to a developer at a knock-down price ...

PS I'd also feel aggrieved if I were in your shoes, and think it's perfectly reasonable for you to ask for something off the price, esp as you say you're already paying considerably over the odds ... you're in quite a strong position I think, as she could find it hard to get another buyer at the price ...

jellie

The existing buildings insurers will continue to insure the property. It might be worth speaking to an insurance broker first, to see if any other company will take the property on. If not, you will have to pay whatever premium the current insurers wish to charge you.

If you want to sell on in the future, the subsidence history may put purchasers off.

I'd be annoyed too, given the problems previous subsidence history can cause. I'm afraid I'd also be wondering what else I hadn't been told.