House purchase - boiler indemnity insurance

DRP

do you have a service record or inspection by qualified engineer for the boiler?

probs 50 quid for a useless indemnity, but would 2k+ if the boiler is a load of carp...

G_M

The indemnity policy is
* not wanted by the buyer, it's demanded by the lender
* won't cover breakdown/reliability, just Buildings regs enforcemnt (which won't happen anyway)

Whether the buyer wants to check boiler condition is a completely different issue.

An Enforcement Notice under Section 36 of The Building Act 1984 may require the removal of the non-compliant work (or its alteration to achieve compliance) and can only be served within 12 months of the date of completion of the relevant building work.

http://www.emwllp.com/whats-the-matter/real-estate/what-we-say/articles/a-brief-guide-to-enforcement-under-the-building-regulations-2010/

mp3duck

DRP wrote: »

do you have a service record or inspection by qualified engineer for the boiler?

probs 50 quid for a useless indemnity, but would 2k+ if the boiler is a load of carp...

we have various documents, some which relate to the boiler.. I need to go though them all again (at work currently).. If it's just £50, we'll just get on and pay it.. doing a brief google, we still need to go via solicitors to get this, and can't go directly..

We' have to get a gas safety certificate anyway (so this will likely identify any issues with boiler itself), as we're renting property out, and did say to vendor we'd be happy if she provided this, but as said earlier, the lender is insisting on this indemnity.

casper_g

Even if the vendor has to buy it, you could still offer to cover the cost. It seems like a bad omen, though, if the sellers are willing to take a stand over a petty two-figure sum.

mp3duck

casper_g wrote: »

Even if the vendor has to buy it, you could still offer to cover the cost. It seems like a bad omen, though, if the sellers are willing to take a stand over a petty two-figure sum.

tbh, I don't think they even know what the cost is.. they just don't want to pay "it"..maybe once we ascertain a price, she might be more willing.. let's see.

We (I am buying house with my Mum) don't want this sale to fall though.. My Mum is disabled and needs to move to a bungalow, which this property is.. They are very rare in the town we wan't to live in (same as where we currently are), and decent property's rarely come up for sale.

vectistim

Last place I bought, for some unfathomable reason the vendor couldn't be bothered to provide a copy of the build regs for the boiler, and for some reason neither set of solicitors could be bothered either - they just wrote letters back and forth to each other, so whilst that was going on, I went and ordered a replacement from Gas Safe.

lincroft1710

The idiocy of mortgage companies never ceases to amaze me!

An indemnity policy in this situation is totally useless!!

It won't pay for a replacement boiler if it goes wrong. Building Control would only be aware of the boiler installation if it had been notified to them and could only enforce its removal within 12 months of its installation.

mp3duck

lincroft1710 wrote: »

The idiocy of mortgage companies never ceases to amaze me!

An indemnity policy in this situation is totally useless!!

It won't pay for a replacement boiler if it goes wrong. Building Control would only be aware of the boiler installation if it had been notified to them and could only enforce its removal within 12 months of its installation.

pretty much our thoughts!!

completion now being put off to 10th August now, due to seller not being able to find removals in time.. Which means now we need to request an extension to the mortgage offer.. But, with her removals now booked, we're hoping to sort out the pointless indemnity insurance out today (one way or another), and hopefully exchange as well..

Hoploz

Call Gas Safe and ask them if a certificate was ever issued for that address. If it was then a copy can be provided for a fee, which would probably be cheaper than the indemnity and would satisfy the lender.

Chanes

We didn't have building regs for our boiler when we sold our other house, but we did have years of boiler inspection certificates and the name of the Gas Safe registered engineer. Our buyer's solicitor asked for an indemnity, which we would have paid for (I can't remember it being expensive) but in the end the issue was lost in the complexities of exchange and such. It's only there to protect you against building regulation enforcement but it is fair to say if it passes inspection by qualified gas fitters it should not have a problem with building regulations, I'd guess. Sorry, if I've already repeated what someone else has already pointed out, I am too tired to read the whole thread!