Storm damage between exchange and completion

PlaysNicely

Having finally exchanged on our sale / purchase last week, with completion due this Thursday 24th, we've had a cheeky visit from Storm Angus and now have a back garden which is open plan to the road behind as several fence panels have come down.

:eek: This is quite astonishing really as this whole area of fencing was kept in good repair for obvious security reasons and ironically the gate is still standing! I guess this is what comes of living in a high wind location at the brow of a hill!

Now I know we need to hand over the property in the same state it was in at exchange (ie: fully fenced and secure) and obviously we're seeking to do that as I know they have two dogs and won't want the headache of securing the property before moving in - that's our responsibility and of course we will restore things.

However, I've never been in this position before so if anyone has any experience / advice as to the 'right' way to go about this, particularly whether:

1) it's actually worth going down the insurance route - time consuming and the excess to pay out, so repairs are going to cost us anyway?
2) we need to let buyers and their solicitors know for their own insurance which kicked in on exchange, regardless of whether they are 'involved' in the repairs?
3) we can just get on with repair and replacement so that we can get the property secured again as quickly as possible (as it's still ours until Thursday and we want to at least patch things up so that our own pets are safe)?
4) we need to let our solicitor know in any case or whether we can just get the fence back up and get on with moving (my OH is adamant that solicitors shouldn't be involved but I'm not sure of the wisdom of that, given that we've exchanged and all).

Ironically we're already booked in to go to our onward purchase this pm to meet a contractor who's going to be organising a gate there for us as otherwise our dogs will be straight out onto the road there (rear garden is openly accessible from driveway & then road) so will ask his advice in respect of actual repairs too, but glad to receive any advice any of you have with regards to the correct way to go about all of this (want to do things right, of course).

Will also need to check for storm damage at that end whilst we're there I guess too as its a probate sale so no one on site to check things!

TIA, PN x

Nick_C

PlaysNicely wrote: »

Now I know we need to hand over the property in the same state it was in at exchange

Do you? I didn't know that! Your buyer has entered a legally binding contract to buy the property from you. Surely that's why they have insurance in place from the date of exchange?

And where a risk is insured with two insurers, don't they share responsibility?

I don't know what I'm talking about, I'm just asking questions. Ask your solicitor. But do feed back to us please. Interesting one.

polki

It never rains etc ...


I could be mistaken, but I don't think fences are covered for storm damage any more. My understanding is that any damage caused by the destruction of the fence is covered but not the fence itself.


A quick glance on the insurance board seems to confirm this. Sorry to be the bearer of bad news and I hope the rest of your move goes smoothly.

csgohan4

some insurers DO not cover fences, check your T+C's

PlaysNicely

Thanks for speedy responses ...

Dan, the exchange thing is my understanding & our buyer made a pre-exchange inspection so as to ascertain that they were happy with the condition etc, so I do think we're obliged.

polki wrote: »

It never rains etc ...


I could be mistaken, but I don't think fences are covered for storm damage any more. My understanding is that any damage caused by the destruction of the fence is covered but not the fence itself.


A quick glance on the insurance board seems to confirm this. Sorry to be the bearer of bad news and I hope the rest of your move goes smoothly.

Polki, thanks, that actually makes it easier in some ways ... no insurance companies to worry about means we can at least just get on and secure things without being obliged to liaise with the buyers' insurance co or owt like that.

Thanks PN x

moneyistooshorttomention

I don't know the legal position on this - but would imagine it means the property has to be no worse a state at Completion to the one it was in at Exchange. There is, after all, no mechanism for buyers to reduce offer to allow for worse condition than they offered on....

I would doubt insurance would cover it. Personally - a few fence panels are no big deal financially. If I were you - I'd just go ahead and get on the phone today arranging to replace them. The buyers needn't even know you have a problem.

Nick_C

Hadn't even consisted that. Just checked my policy. I'm with L&G and I'm not covered 😕

Quite possibly the buyer isn't either.

Perhaps, after speaking to your solicitor, the fairest thing might be to offer the buyer an ex gratia amount of half the estimated cost of putting it right.

That storm could have so easily happened just after completion instead of just before.

pmlindyloo

This is a very useful article which seems to indicate that it is the buyers' insurance that should be used.

https://www.nationalhomebuyers.co.uk/liable-property-damage-exchange-completion/

So, check your insurance and consult your solicitor.

Depending on your insurance/solicitor/whether the buyers have insurance(!) it might be worth talking to your buyers and coming to some agreement.

It may be that they intended to replace your fence with a higher/better one in which case it might all be down to a matter of agreeing something between you.

davidmcn

Nick_C wrote: »

Do you? I didn't know that! Your buyer has entered a legally binding contract to buy the property from you. Surely that's why they have insurance in place from the date of exchange?

And where a risk is insured with two insurers, don't they share responsibility?

I've never understood why this is how it's done in English/Welsh contracts - surely it would be simpler and more logical for risk to transfer on completion, then it's clearer that it's the sellers (and their insurer) who need to sort it out? That's how we do it in Scotland (along with an option for either party to walk away if there is material damage, so you're not forced to buy the smouldering embers of what used to be a house...)

Nick_C

We bought our house last year. In the week between exchange and completion the owner (who had been letting the property) went round and unexpectedly fixed a couple of things that were in a poor state of repair. This included the back gate which was falling down. We took it down and replaced it a month after completion.

So talk to your buyers or you may spend time and money unnecessarily

glasgowdan

Are the posts still standing? Regardless,. I wouldn't even consider making things complicated. I'd just get a fence person round to fix it before you hand the house over. No emails to the buyers, solicitors, insurance blah blah.