New boiler on the Green Deal, worth it?

mcpep

Hi all, thanks in advance for any help

My situation:

Lived in/owned my house for 10 years, had the same crappy combi boiler since I moved in (not sure how long the previous owner had it but I would guess 5+ years). It's been on it's last legs for many years, no longer provides hot water to taps although the radiators work fine, at the mo. When I had it repaired by a friend, he advised me to not buy any new parts for it as it would be a waste of money as it will need replacing soon.

I've just had cavity wall & loft insulation fitted for free.

I work and don't claim any benefits so wouldn't be eligible for any discount relating to earnings etc.. I'm on a DMP and things are tight at the mo, although I may be receiving a windfall of £1.5k from a relative which I would be able to use to sort this issue out.

My question is is it worth me carrying out a Green Deal assessment and would it be the right way for me to update my boiler without having to spend all of my windfall on the boiler? Or would it be more sensible to bite the bullet and spend all the money on a boiler (my friend says that £1.5k would get me a reasonable one, and I don't intend to live in my property forever)? Obviously the ideal situation would be that the Green deal works for me and I can put the £1.5k into getting rid of my DMP quicker...

I've read Martin's article and carried out the pre-assessment that is linked, my property's energy rating is currently 61 (although some survey questions were guessed such as height of loft insulation etc..).

I guess I just want to avoid paying out £120 for a Green Deal assessment, to find it's not suitable for me and that I have to fully shell out myself for the boiler anyway!!

Thanks! :cool:

Ecodave

The Green Deal is a financial product and as such will be subject to a credit check. It is thought that more people will pass this credit check than on a standard unsecured finance application, but I don't know how being on a DMP would affect it? You may be paying to be assessed, just to fail the credit check.

Have you thought about getting a second opinion on having the boiler repaired?

macman

Sounds like it just needs a new divertor valve?
Make and model?

mcpep

I think that a new divertor valve would fix the hot water problem, however as I said a trusted friend told me that the boiler was in such a bad way that he wouldn't spend any money on new parts, it's on it's last legs..

After looking into the Green Deal I must say it doesn't look great, I'm not sure that the savings from a new boiler would cover the cost of it. Also like you say as a credit check is done there's a good chance I won't qualify as I'm on a DMP with a couple of defaults 2 years back! So looks like I need to fork out for a new boiler out of my own pocket..

Thanks for your help

matelodave

I'd suggest that it would not only cost more on the green deal you'd end up paying it forever. I've found that most of these government initiatives seem to attract a premium price from the contractors.

You will more than likely get a better price from a local plumber.

macman

I you are already on a DMP, then why do you want to take on a 10 year loan at 7%?

mcpep

Good point, I'm one year from the end of my DMP and being debt free for the 1st time in decades!

I was hoping that I could spend my windfall on bringing that day forward a few months, rather than a new boiler, but it just doesn't sound worth it on the Green Deal so I'll use the money on a boiler and look forward to Christmas 2014

matelodave

whats a DMP?

macman

Debt Management Plan.