Purchasing a property with leaking chimney

Habbakuk

I'm going through the process of purchasing a property from other family members. It was left to them in a deceased realative's will. Recently, it's transpired that the next door property is receiving dampness from the chimney of the property I wish to buy. The solicitors taking care of the property, their probate department have said that the property is insured and to get a builder to take a look at it and give and estimate. This has happened and says it needs a new chimney although he hasn't come back with a price. Fine.

The process of my purchase is moving ahead quickly and completion cannot be far away. I'm a bit concerned though about this chimney business and don't want to complete until it's dealt with. I'm just not sure how these things work. Does the builder have to now complete the work before the insurance company cough up any money or will they agree to pay in the future based on the builder's estimate? Where does this leave me? Should I not complete the purchase until the chimney is sorted? Any thoughts much appreciated.

lincroft1710

The property might be "insured", but most policies require a property to be kept in good repair and would only pay out if there had been storm, fire or accidental damage. Further the policyholder or insurance company is usually the one who would instruct a builder to carry out repairs, not someone buying the house.

If you've exchanged contracts and have taken out buildings cover insurance, then 1) check what they would pay out for and 2) if they would pay out for a previous problem.

In short don't engage the services of a builder and expect the insurance co. to pay out without directly asking the insurance co, if they will do so.

Habbakuk

Thank you for the reply. The solicitors who were the solicitors of the deceased relative are dealing with the property and they organized for it to me insured. They were telephoned regarding the chimney and said that the property is insured and covered and they advised a family member.... to organise to get a builder to take a look at it and give an estimate. I haven't exchanged contracts yet.

lincroft1710

In that case, let the executors instruct a builder to carry out and pay for repairs. As you haven't exchanged you should not arrange for any repairs to be done to the property, you would be liable for the cost and there is still a possibility the sale may fall through.

I'd love to know which insurers the house is insured with.

Habbakuk

It was an executor which instructed a builder. I must admitt....it did seem a bit strange to me that the insurers didn't organise the builder etc. Thanks.

Habbakuk

The latest is that the insureres won't pay out as it's not covered. Only covered for damage resulting from: lightning, smoke, earthquake, fire or explosion. So, it will be up to the executors to pay for it as I haven't exchanged. I know that one of them in particular isn't happy about this and wants be to pay for it which is of course nonsensical. What I'm worried about now is that they will simply to a patch up job on it to stop the leaking into the next door's property thus leaving me still with the major cost of a new chimney. Any thoughts?

G_M

I am not surprised.

From reading your first post I was amazed you were talking about insurance. House insurance does not cover maintenance (eg of a chimney) any more than car insurance would cover maintenance (eg of the tyres).

Either

* agree for the Executers to fix it bfore you Exchange or
* reduce the amount you pay for the property or
* buy it as agreed ad then fix it at your own cost

Do you know what is causing this damp leak? Is it

* Rain entering the chimney at the top? £25 for a chimney cowl
* poor pointing? scaffolding will be the expensive bit: £500? Re-pointing £200?
* broken/missing lead flashing where the chimney joins the roof? No big deal

You say "it needs a new chimney" but this is a major costly job implying a serious defect.

Habbakuk

The estimate for building a new chimney was £1800 including scaffolding and getting rid of the rubbel etc

NB Tried to claim in the insurance because the problem only appeared in the week following the massive storms on the 3rd January.

G_M

Habbakuk wrote: »

The estimate for building a new chimney was £1800 including scaffolding and getting rid of the rubbel etc

NB Tried to claim in the insurance because the problem only appeared in the week following the massive storms on the 3rd January.

Well, if you can prove the problem was caused by the storm, insurance should pay.

If it is long-standing deterioration due to neglect, then your choices are as above.

Habbakuk

I have spoken to the insurance people and it's not covered. On top of that, one of the 3 executors is unwilling for the chimney to be repaired from the estate 'funds'. In other words, this executor wants be to pay for repairs. It doesn't quite make sense because I haven't exchanged contracts yet. I have a mind to pull back from the purchase. It's complicated because it's basically a family matter. Any thoughts?

Habbakuk

Also, something temporary needs to be done before the 13th because the neighbour who's being 'flooded' says she's putting in some fixtures after that date which will make re-decoration very difficult. She's fitting a cafe/shop next door.