Buildings Insurance Neighbour

kennedymatt

thanks for all the responses. worrying to see its such an issue. Its can't be the only flat where the insurance situation is the same though so there must be a solution! Maybe when I extend the lease I can change the terms! Oh yeah didn't throw the lease extension into the mix too did i! haha. it will be worth it, I hope!

owl_fan

I bought a flat with freehold included and I was obliged to insure the entire building before I was allowed my mortgage, and before I moved in. I realise this is different from your situation but I think all lenders insist on buildings insurance.
I think the best advice is to get the freeholder to insure the building and you pay a share each. It's the freeholder's asset which is being protected, so I would have thought they wouldn't want one of the flats to not be insured.

G_M

say the gf doesnt have insurance and cant afford to rebuild, what happens?

chris_m wrote: »

You end up with a bungalow?

A first floor bungalow?

vuvuzela

kennedymatt wrote: »

thanks for all the responses. worrying to see its such an issue. Its can't be the only flat where the insurance situation is the same though so there must be a solution! Maybe when I extend the lease I can change the terms! Oh yeah didn't throw the lease extension into the mix too did i! haha. it will be worth it, I hope!

You sound quite fixed on buying this. Personally, I would look at the number of people saying 'pull out' and give that more than simply serious consideration.
I wouldn't buy in your circumstances. Yes you may lose money you've spent on searches etc but that's better than getting something that is an utter liability and losing everything.

chris_m

G_M wrote: »

A first floor bungalow?

Not if the ground floor hasn't been rebuilt underneath it

G_M

chris_m wrote: »

Not if the ground floor hasn't been rebuilt underneath it

It would only be a bungalow if the ground floor hasn't been rebuilt underneath i.

chris_m

G_M wrote: »

It would only be a bungalow if the ground floor hasn't been rebuilt underneath i.

That's what I meant in the first place

kennedymatt

vuvuzela wrote: »

You sound quite fixed on buying this. Personally, I would look at the number of people saying 'pull out' and give that more than simply serious consideration.
I wouldn't buy in your circumstances. Yes you may lose money you've spent on searches etc but that's better than getting something that is an utter liability and losing everything.

yes we are. I dont see why we would need to pull out? Ive been told we can take out an insurance policy to cover us incase gf does not insure. The seller will pay. Why would people pull out of this?

molerat

You will get cover for if gf fails to re-insure, not if they are currently un insured. As others have said if everything goes well there is no problem but if some major disaster does happen it will be a major legal, financial and personal nightmare.

kennedymatt

molerat wrote: »

You will get cover for if gf fails to re-insure, not if they are currently un insured. As others have said if everything goes well there is no problem but if some major disaster does happen it will be a major legal, financial and personal nightmare.

No Ive spoken to several brokers and thankfully they dont expect you to prove the gf flat is insured. As long as you are not withholding information to say you know they are not insured.

Thanks for all the responses been very useful.