No Building Regulation Completion Certificates - Any other options?

tygar2

Hello All.

Hope I can pick your brains as I am planning ahead and weighing our options with a house buying situation. We were due to exchange and complete before Christmas. This might get lengthy so I will summarise as best I can.

Summary
Made and had offer accepted on extended and refurbished 1920s 4 bed semi.
Work done is 2 storey rear extension (kitchen and a bedroom above it). It was granted conditional planning permission in 2007 and I viewed approved plans on local council planning portal.
Extensive electrical and decorative work to the rest of the house. This includes spotlights, dimmer switches, radiators, boiler and new bathroom (all within the last 10 years)

Commissioned Building (Full structural) Survey with valuation
Negligable damp issue (in older part of house) and roof tile issue found (still has original roof). Estimated repair cost - £1500. No structural issues were noted.
Valuation came in lower than offer. I revised offer and we met in the middle (£2000 below valuation and over £10000 less than original offer).

Bank Valuation and Mortgage
Bank did own valuation and mortgage offer received with no conditions.

Concerns
Extension
The issue is that the extension was never issued a Building Regulations completion certificate. On the local council building control website I was able to ascertain that planning permission was granted and the last status is "building work started". Anonymous enquiries to the council revealed that that this means some inspections had been done at some point but no final inspection to sign off work. Was advised that it could be at best as simple as the owner calling and arranging the final inspection and work is signed off. At worst the inspector will kick up a fuss and there will be big bother.

Close scrutiny of the approved plans shows 2 main differences to what what I saw at viewing. An internal wall separating living room from original kitchen was removed and the original back doors from dining room to garden were meant to be removed and the gap becoming an arch. Instead, a larger area (doors and supporting walls were removed making an open plan dining room into new kitchen (extension bit). This means steels were used. Could this be why seller started avoiding Building Control at some point?

Rest of house
This concerns me more than the extension issue. We have not been provided with any documentation at all regarding installation or maintenance of anything. Building regulation requiring items such as the boiler installation and maintenance, additional radiators, replacement of internal doors, electric rewiring for spotlights, double glazing, bathroom reconfiguration...nothing. There is also no record of this certifiable work on the council website and not a shred of paper (even an old receipt) has been forwarded. So basically we have nothing but the sellers word. I raised the queries but sellers solicitors sent me planning consent documents which is not what I need. Raised query again and waiting...

So why have we not walked away already? Various factors are causing us to debate;

The Building Survey found no major issues.
The house itself is finished to a very high standard and is the best house we have viewed in approximately 50 - 70 properties over the 12 months of searching (this is not panic buying!). The level of finish does not give the impression of corners being cut - a lot of money was spent on the kitchen and decor. The house is the most ideally located we have come across hence the extra effort we are putting in trying to salvage this situation.
Planning permission and some Building Control inspections were carried out in the beginning but I do not know to what stage.


OPTIONS
Option 1: The best case is easy - seller provides all documents and case closed. However, assuming the worst case no further documents are forthcoming then...
Option 2: We accept the indemnity insurance and get gas and electrics inspections done. Is this a viable option? My solicitor is pushing the indemnity insurance angle but I know that is a pointless product which is not worth the paper it is printed as the council cannot enforce nor will it pay any repair costs. My main worry is safety and validity of buildings insurance should the worst happen. Is this a good compromise?
Option 3:Walking away - we will if we have to. Am I over analysing a relatively minor situation or are there too many red flags?
Option 4: (rambling now): We really like this house and would rather not lose it. Is there a way of completing or exchanging contracts but with the seller liable until a Completion certificate is issued by Building Control? A significant amount (eg. £50000) could be held back temporarily as insurance.

Sorry for the very long post. All advice is appreciated.

lincroft1710

I'll pick up one sentence in your post

"This means steels were used"

Do you know for definite (i.e. have seen evidence of steels being used) or are you just assuming?

tygar2

lincroft1710 wrote: »

I'll pick up one sentence in your post

"This means steels were used"

Do you know for definite (i.e. have seen evidence of steels being used) or are you just assuming?

Hello

I made an error in how I expressed myself. What I meant was that I know that removing a load bearing wall would require support of the structure via the use of steels. This would increase the need of it been calculated and done properly....:undecided

I have not seen any evidence of this as would be hidden from view by decorative work.

ProDave

The electrical work for the extension should have been covered by a part P certificate from the electrician.

If the only work to the existing house was dimmer switches and spotlights to existing circuits it is outwith building control. In any event an "Electrical Installation Condition Report" will tell you if the wiring is safe or not. Same with gas, a gas safe engineer will be able to do a gas safety check.

The structural work and support over openings could be the biggest issue. See what the seller has to say. If building control have already inspected that and just need the completion inspection, it could be trivial.

When was the work completed (you say PP was granted in 2007) how long did it take?

It might be beyond the time limit for building control being able to enforce any action, so they may not be interested in which case the indemnity might be the best route.

Ask for evidence of how the openings were supported, e.g. photographs or receipts from the builder for the lintels used. No surveyor will be able to tell how it is supported without stripping plaster off etc, all he can tell is whether there is evidence or movement or not.

If you like the house it is worth trying to find a resolution rather than walking away.

lincroft1710

Double glazing if post 2002 should have a Fensa certificate. New boiler should have building regs approval, many CH installers can self certify and notify building control.

tygar2

ProDave wrote: »

If the only work to the existing house was dimmer switches and spotlights to existing circuits it is outwith building control. In any event an "Electrical Installation Condition Report" will tell you if the wiring is safe or not. Same with gas, a gas safe engineer will be able to do a gas safety check.

Thanks ProDave.
If I got an electrical and gas safety check done do you know if I would be covered for insurance purposes in the event of an incident that is later blamed on a gas or electrical fault?

ProDave wrote: »

The structural work and support over openings could be the biggest issue. See what the seller has to say. If building control have already inspected that and just need the completion inspection, it could be trivial.

Yes, it could be trivial and easily solved if seller agrees to contact council. I am working on the worst case scenerio where seller is reluctant/unwilling to approach building control due to having gone off plan. Is there a way structural work could be inspected in a finished building?

ProDave wrote: »

When was the work completed (you say PP was granted in 2007) how long did it take?

It might be beyond the time limit for building control being able to enforce any action, so they may not be interested in which case the indemnity might be the best route.

From reading various threads my understanding is that Building Control are limited in what they can do after about 4 years unless the structure is dangerous. From my recollection, the seller said the extension is 10 years old. Indemnity insurance is pointless as it won't pay for repairs anyway should the structure fail or if the council took action.

ProDave wrote: »

Ask for evidence of how the openings were supported, e.g. photographs or receipts from the builder for the lintels used.

The more I think about it, the more I realise having zero documentation is unacceptable. They must have a receipt or something or even a phone number to enable me to contact the various tradesmen who did the work. Thanks

tygar2

lincroft1710 wrote: »

Double glazing if post 2002 should have a Fensa certificate. New boiler should have building regs approval, many CH installers can self certify and notify building control.

Thanks
If seller has no paperwork at all at a minimum he should be able to put me in touch with the self certifying tradespeople who did the various works. They should have some sort of record.

tygar2

lincroft1710 wrote: »

Double glazing if post 2002 should have a Fensa certificate. New boiler should have building regs approval, many CH installers can self certify and notify building control.

Just did an address search on FENSA website - no record:(

....not looking good...

davidmcn

tygar2 wrote: »

If seller has no paperwork at all at a minimum he should be able to put me in touch with the self certifying tradespeople who did the various works. They should have some sort of record.

That might satisfy you, but bear in mind you'll need to satisfy your lender too.

tygar2

davidmcn wrote: »

That might satisfy you, but bear in mind you'll need to satisfy your lender too.

My lender has not expressed any concerns. The inspected property and offered mortgage with no conditions attached.

If no concerns have been raised now, I doubt they will be after a mortgage starts.

davidmcn

tygar2 wrote: »

My lender has not expressed any concerns. The inspected property and offered mortgage with no conditions attached.

If no concerns have been raised now, I doubt they will be after a mortgage starts.

That's a clear valuation and no conditions on the assumption that all necessary consents exist for the works. Your solicitor will need to ensure that they're happy with whatever is being offered in the absence of the expected paperwork.

See the CML Handbook (which is the standard set of solicitor instructions used by most lenders):

5.5 Planning and Building Regulations
5.5.1You must by making appropriate searches and enquiries take all reasonable steps (including any further enquiries to clarify any issues which may arise) to ensure:

• the property has the benefit of any necessary planning consents (including listed building consent) and building regulation approval for its construction and any subsequent change to the property and its current use; and
• there is no evidence of any breach of the conditions of that or any other consent or certificate affecting the property; and
• that no matter is revealed which would preclude the property from being used as a residential property or that the property may be the subject of enforcement action.

If there is evidence of such a breach or matter but in your professional judgment there is no reasonable prospect of enforcement action and, following reasonable enquiries, you are satisfied that the title is good and marketable and you can provide an unqualified certificate of title, we will not insist on indemnity insurance and you may proceed.
5.5.2If there is such evidence and all outstanding conditions will not be satisfied by completion, where you are not able to provide an unqualified certificate of title, you should report this to us in accordance with 2.3.