Searches: Ground stability issues - Moderate

ironman1

Hi all,

Today we have had our environmental searches back and it says the ground stability has shown a moderate and their could be subsidence but it is not necessarily the case.

I am now worried about going through with the actual mortgage survey now as it cost us £700 and obviously if that comes back saying the bank won't lend us the money then we have wasted even more on top of the outlay already made. We are very close to completing the sale of our property and feel in a real dilemma.

I know it's probably a how long is a piece of string question but would you still go ahead or pull out. The house is n end of terrace and was built in 1981. The last sale in the same road was earlier this year. Any advice welcome

G_M

http://www.bbc.co.uk/news/uk-england-beds-bucks-herts-34639340

lincroft1710

If the property is at risk of subsidence, then you should be happy the bank won't lend you the money.

If you buy the house and it does suffer from subsidence, bear in mind that most home insurers will not pay the first £1,000 of a subsidence claim, so you will have lost slightly more than the £700.

The worst case subsidence scenarios result in the property having to be demolished.

bouicca21

Is the subsidence risk characteristic of the neighbourhood? How old is the house - newer ones will have better foundations. Also look at the size of nearby trees.

Substantial swathes of London, and indeed the rest of England, are built on shrink-swell soil. Ask your solicitor about local conditions and whether this particular flag is normal for the area or not. No point in pulling out if every other house in the area is going to get the same flag. Every point in pulling out if it is a one off.

ironman1

Thanks for the replies.

The house is in London. Built 1981.

This is what the searches came back with -

What is the potential for natural ground instability in the area within 50m of the property? MODERATE

Comment: The survey has assessed the area of search as having moderate potential for natural ground instability. This does not necessarily mean there is cause for concern in terms of the properties stability. Active subsidence will be dependant on local conditions, such as the proximity of trees or areas where tress have been removed, which require an inspection of the site to identify the nature of the ground in which the property is built. A house buyers survey is advised to look for signs of property damage that may indicate poor natural ground conditions.

ironman1

I really do appreciate all replies and help. I admit I have no idea what to do. I have been told my a friend who is a mortgage adviser that he doubts the bank will lend when the survey is done. So it will be a complete waste of money on top of what has been spent already. Believe me I understand that is all part of buying and selling but we were hoping to be moved out from the place we are selling and into this property next month so it has come as a big shock. I know the area well and did not expect it.

davidmcn

ironman1 wrote: »

I really do appreciate all replies and help. I admit I have no idea what to do. I have been told my a friend who is a mortgage adviser that he doubts the bank will lend when the survey is done.

Why does he say that? A moderate risk sounds just that - moderate. Somewhere between low and high. Possibly no worse than every other house in the area.

Does the house actually show any sign of movement?

bouicca21

I wouldn't be listening to a friend, mortgage adviser or not. I'd go and look at the house inspecting for signs of cracking. I'm no expert but I think you'll find that building regs for 1981 ensured very deep foundations precisely to prevent the sort of subsidence that was seen in older properties in very hot summers in the 60s.

If you can't see cracks, the surveyor probably won't either.

fashionvictim

Has the house been underpinned ? If yes harder to insure. I would then avoid personally.

Can you find out if any of the other houses have had issues? Look at all the houses on the terrace. Check for cracks above the windows etc

I think a lot of places are moderate risk.

AlexMac

ironman1 wrote: »

Hi all,

Today we have had our environmental searches back and it says the ground stability has shown a moderate and their could be subsidence but it is not necessarily the case.... Any advice welcome

I would not be pulling out, but given that you have paid good money for the environmental report, I'd be asking the agency which produced it to stop scaremongering and earn their fee by defining t'moderate' in terms of comparative risk- ring 'em up.
These reports are generated mainly from standard data like the British Geological Survey, but a quick google gives no precise definition of 'moderate', and so, you should be asking what % of London is in this category,

Given that much of London is clay which can shrink or heave (expand) as it dries or wets in the occasional extreme drought or flood I'd assume much of London is in a moderate risk area.

- and eleswhere (such as the slopes of SE London where I live ) are a mix of layers of sands & gravels, clay, or even in the outer suburbs, Chalk, so you can get varied risk. We are rock solid (to coin a phrase!) as we are on high flat ground on nice stable gravels, but on some of the the slopes below us you can see where there is movement as you run down the hill even between homes on the same terrace (the slipped lintels over doors or window sills out of true, even where brickwork cracks ahve been repaired, as mentioned above).

A house built in 1981 will have foundations capable of coping with this, whereas 1900's homes had very shallow 'footings' - but still, very few of these have actually moved.

So panic not- if you like the house, look at others locally and ask the vendor via your solicitor if there has been movement- don't trust the estate agent.

Also, you could find out of insuarnce has ever been claimed or refused due to movement- if not, no problem, as you'll be insurable.

ironman1

Thanks, that is reassuring. Ian insurance quote online for the property and it at least gave me an illustration. I know some places aren't even given a quotation due to their location from past experience