CRL warranty not accepted

BBJJPP

Hello, 
I’m trying to buy a new build, the warranty was CRL. However CGICE has taken CRL over, but every bank I go to won’t accept CGICE. Has anyone else had this issue? Or know how to overcome this issue? Or know of lenders to CGICE?

threedaystar

BBJJPP said:

Hello, 
I’m trying to buy a new build, the warranty was CRL. However CGICE has taken CRL over, but every bank I go to won’t accept CGICE. Has anyone else had this issue? Or know how to overcome this issue? Or know of lenders to CGICE?

Simply put, you will need to get a different warranty that the bank will accept. Otherwise you won't get a mortgage. Most of us who had Alpha/CRL, went to Buildzone and a few other specialist firms that did retrospective warranties. However, since this is a new build house, I would try and ensure that the SELLER/Firm you are buying from makes sure that it has the proper warranty (not you). If they won't do it, I wouldn't touch the house, and go somewhere else. Sorry if that sounds harsh, but the lot of us from CRL went through SO much of a headache on this.

SallyDucati

I would say if the warranty is in any way linked to CRL or a company related to them I would be looking elsewhere, unless the house is nearing the end of the 10 year warranty.  I only just about escaped getting caught up in the CRL debacle due to timing and got the developer to get other cover, people on the estate who bought before I did had no end of trouble getting retrospective warranties.
If you are finding it difficult to find a mortgage that rings alarm bells with me.  I would cut your losses;.

Midge2020

BBJJPP said:

Hello, 
I’m trying to buy a new build, the warranty was CRL. However CGICE has taken CRL over, but every bank I go to won’t accept CGICE. Has anyone else had this issue? Or know how to overcome this issue? Or know of lenders to CGICE?

Even if you somehow manage to twist the arm of your lender to accept the new warranty offered by CGICE (Gibraltar based therefore not UK regulated - big warning siren) if you have to sell the property yourself, the warranty will be hard to flog to a potential purchaser and therefore you’re in a fix! Agree with other posters ....cut your losses ASAP.

BBJJPP

threedaystar said:

BBJJPP said:

Hello, 
I’m trying to buy a new build, the warranty was CRL. However CGICE has taken CRL over, but every bank I go to won’t accept CGICE. Has anyone else had this issue? Or know how to overcome this issue? Or know of lenders to CGICE?

Simply put, you will need to get a different warranty that the bank will accept. Otherwise you won't get a mortgage. Most of us who had Alpha/CRL, went to Buildzone and a few other specialist firms that did retrospective warranties. However, since this is a new build house, I would try and ensure that the SELLER/Firm you are buying from makes sure that it has the proper warranty (not you). If they won't do it, I wouldn't touch the house, and go somewhere else. Sorry if that sounds harsh, but the lot of us from CRL went through SO much of a headache on this.

Thank you this is really helpful! 

BBJJPP

Midge2020 said:

BBJJPP said:

Hello, 
I’m trying to buy a new build, the warranty was CRL. However CGICE has taken CRL over, but every bank I go to won’t accept CGICE. Has anyone else had this issue? Or know how to overcome this issue? Or know of lenders to CGICE?

Even if you somehow manage to twist the arm of your lender to accept the new warranty offered by CGICE (Gibraltar based therefore not UK regulated - big warning siren) if you have to sell the property yourself, the warranty will be hard to flog to a potential purchaser and therefore you’re in a fix! Agree with other posters ....cut your losses ASAP.

Thank you! I think I know what I need to do 

BBJJPP

Midge2020 said:

BBJJPP said:

Hello, 
I’m trying to buy a new build, the warranty was CRL. However CGICE has taken CRL over, but every bank I go to won’t accept CGICE. Has anyone else had this issue? Or know how to overcome this issue? Or know of lenders to CGICE?

Even if you somehow manage to twist the arm of your lender to accept the new warranty offered by CGICE (Gibraltar based therefore not UK regulated - big warning siren) if you have to sell the property yourself, the warranty will be hard to flog to a potential purchaser and therefore you’re in a fix! Agree with other posters ....cut your losses ASAP.

Thank you , it seems everyone thinking the same

threedaystar

BBJJPP said:

Midge2020 said:

BBJJPP said:

Hello, 
I’m trying to buy a new build, the warranty was CRL. However CGICE has taken CRL over, but every bank I go to won’t accept CGICE. Has anyone else had this issue? Or know how to overcome this issue? Or know of lenders to CGICE?

Even if you somehow manage to twist the arm of your lender to accept the new warranty offered by CGICE (Gibraltar based therefore not UK regulated - big warning siren) if you have to sell the property yourself, the warranty will be hard to flog to a potential purchaser and therefore you’re in a fix! Agree with other posters ....cut your losses ASAP.

Thank you , it seems everyone thinking the same

I think there is a really key thing that Midge2020 has said, that you need to pay special attention to. IF you decide to try and forcer the seller to get a new warranty (and one that is accepted by your bank + the majority of other banks (make sure!)), then you need to be on the seller like a hawk and ALSO ensure that whomever they choose to deal with has an appropriate rating. You want to ensure that it is an  'A' rated insurer - or else, you could, in years down the line, have the EXACT issues we had with CRL (and why it went bust). This is why Midge mentions to not trust CGICE (also not UK regulated / and I have no clue of their rating). Make sense?

BBJJPP

threedaystar said:

BBJJPP said:

Midge2020 said:

BBJJPP said:

Hello, 
I’m trying to buy a new build, the warranty was CRL. However CGICE has taken CRL over, but every bank I go to won’t accept CGICE. Has anyone else had this issue? Or know how to overcome this issue? Or know of lenders to CGICE?

Even if you somehow manage to twist the arm of your lender to accept the new warranty offered by CGICE (Gibraltar based therefore not UK regulated - big warning siren) if you have to sell the property yourself, the warranty will be hard to flog to a potential purchaser and therefore you’re in a fix! Agree with other posters ....cut your losses ASAP.

Thank you , it seems everyone thinking the same

I think there is a really key thing that Midge2020 has said, that you need to pay special attention to. IF you decide to try and forcer the seller to get a new warranty (and one that is accepted by your bank + the majority of other banks (make sure!)), then you need to be on the seller like a hawk and ALSO ensure that whomever they choose to deal with has an appropriate rating. You want to ensure that it is an  'A' rated insurer - or else, you could, in years down the line, have the EXACT issues we had with CRL (and why it went bust). This is why Midge mentions to not trust CGICE (also not UK regulated / and I have no clue of their rating). Make sense?

threedaystar said:

BBJJPP said:

Midge2020 said:

BBJJPP said:

Hello, 
I’m trying to buy a new build, the warranty was CRL. However CGICE has taken CRL over, but every bank I go to won’t accept CGICE. Has anyone else had this issue? Or know how to overcome this issue? Or know of lenders to CGICE?

Even if you somehow manage to twist the arm of your lender to accept the new warranty offered by CGICE (Gibraltar based therefore not UK regulated - big warning siren) if you have to sell the property yourself, the warranty will be hard to flog to a potential purchaser and therefore you’re in a fix! Agree with other posters ....cut your losses ASAP.

Thank you , it seems everyone thinking the same

I think there is a really key thing that Midge2020 has said, that you need to pay special attention to. IF you decide to try and forcer the seller to get a new warranty (and one that is accepted by your bank + the majority of other banks (make sure!)), then you need to be on the seller like a hawk and ALSO ensure that whomever they choose to deal with has an appropriate rating. You want to ensure that it is an  'A' rated insurer - or else, you could, in years down the line, have the EXACT issues we had with CRL (and why it went bust). This is why Midge mentions to not trust CGICE (also not UK regulated / and I have no clue of their rating). Make sense?

Yes that make sense, thank you!
my new build doesn’t want to change the warranty. Is it an easy thing to do to change warranty?

BBJJPP

Midge2020 said:

BBJJPP said:

Hello, 
I’m trying to buy a new build, the warranty was CRL. However CGICE has taken CRL over, but every bank I go to won’t accept CGICE. Has anyone else had this issue? Or know how to overcome this issue? Or know of lenders to CGICE?

Even if you somehow manage to twist the arm of your lender to accept the new warranty offered by CGICE (Gibraltar based therefore not UK regulated - big warning siren) if you have to sell the property yourself, the warranty will be hard to flog to a potential purchaser and therefore you’re in a fix! Agree with other posters ....cut your losses ASAP.

Yes I agree too! Need to change the warranty or go!