Selling house - Problems with buyer’s lender. Don’t know where to turn.

Ja1_2

Hi.

This is a long, stressful story, so apologies but I’m after some advice. No idea what to do.

Purchased a house nearly four years ago in Leeds and given it has a basement kitchen, I paid a large amount of money to have it tanked. The builder provided me with a 10 year guarantee.

Earlier this year, I had a second T&D specialist look at it and they confirmed there is zero damp in the basement. The buyers lender surveyor claimed there was (won’t bore you with the details, we all know why and how surveyors claim damp) but after a month of arguing-where I had to pay for another T&D report and survey-the surveyor was satisfied there was no damp and this satisfied the lender too.

Incidentally, the surveyor claimed there was subsidence in the house. I had to pay £300 for a structural survey that proved that there is none....

Anyway, a month or so later, the lender returned and said they would accept indemnity for a new roof I had fitted (I didn’t know this needed building regs) but wouldn’t accept indemnity for the basement kitchen tanking. Again, since no structural changes were made, I had no idea building regs were needed.

The lender has asked for a tanking guarantee (no idea what this is?) or retrospective building regulations.

With the tanking guarantee, I have the guarantee from the original builder as well as an independent surveyor who gave me a guarantee and detailed report. There is no damp. If this satisfied the lender before, why is it different now?

I’ve also applied for retrospective building regulations. The guy came round earlier. Given he was supposed to be looking at tanking, surely what he can do is limited? He was satisfied there have been no structural changes, I showed him step by step photos of the tanking being done, showed him all the guarantees and reports I’ve had done....I’m awaiting a response. I have no idea what to do if he denies it.

So essentially what I am asking,

1. Does anyone know what I can do to satisfy the lender (TSB)? I’m stumped.. I have spent thousands trying to satisfy them and they still keep asking for more. If we can’t get building regs/indemnity/tanking guarantee, is there anything else to do?

2. What is an ‘insurance backed tanking guarantee’? Surely the reports/guarantees that satisfied the surveyor didn’t this? How do I get one of the company that provide it didn’t install it?

We are terrified we are going to lose our onward purchase and be responsible for the chain collapse. Any advice appreciated. Like I say, we have spent so much money on reports and guarantees and can’t afford to keep doing so.

Thanks.

Thrugelmir

Yes you've spent thousands of £'s. However the lender is going to advance even more money. Therefore they need to ensure that the property provides adequate security for the debt.

Little point in speculating. Wait for the outcome.

G_M

Ja1 wrote: »

Hi.

The builder provided me with a 10 year guarantee.
Great. Is he still in business? Is his guarantee 'insurance backed'? (ie if he goes out of business after 6 years, the insurer will honour the guarantee).

Earlier this year, I had a second T&D specialist look at it and they confirmed there is zero damp in the basement. The buyers lender surveyor claimed there was (won’t bore you with the details, we all know why and how surveyors claim damp) but after a month of arguing-where I had to pay for another T&D report and survey-the surveyor was satisfied there was no damp and this satisfied the lender too.
Great- so the lender now has two positive T&D reports?

Incidentally, the surveyor claimed there was subsidence in the house. I had to pay £300 for a structural survey that proved that there is none....irrelevant now I think.

Anyway, a month or so later, the lender returned and said they would accept indemnity for a new roof I had fitted (I didn’t know this needed building regs)
Good. (you've been very poorly advised by your various contractors!)

but wouldn’t accept indemnity for the basement kitchen tanking. Again, since no structural changes were made, I had no idea building regs were needed. As above- you've been very poorly advised by your various contractors!)

The lender has asked for a tanking guarantee (no idea what this is?) See your first sentence above.
or retrospective building regulations.
so send them the guarantee (insurance backed?) and damp reports.
With the tanking guarantee, I have the guarantee from the original builder as well as an independent surveyor who gave me a guarantee and detailed report. There is no damp. If this satisfied the lender before, why is it different now?
They are being cautious. Basments are notorious for problems..... Re-send the documents.

I’ve also applied for retrospective building regulations. The guy came round earlier. Given he was supposed to be looking at tanking, surely what he can do is limited?
Well he could make you rip open the walls so he can inspect. Did he request this?

He was satisfied there have been no structural changes, I showed him step by step photos of the tanking being done, showed him all the guarantees and reports I’ve had done....I’m awaiting a response. I have no idea what to do if he denies it.
Sounds positive

So essentially what I am asking,

1. Does anyone know what I can do to satisfy the lender (TSB)? I’m stumped.. I have spent thousands trying to satisfy them and they still keep asking for more. If we can’t get building regs/indemnity/tanking guarantee, is there anything else to do?
No. You've done all you can. They'll lend or they'll refuse.

2. What is an ‘insurance backed tanking guarantee’? Surely the reports/guarantees that satisfied the surveyor didn’t this? How do I get one of the company that provide it didn’t install it?
Not sure I understand your English, but look at the guarantee you have- is it or is it not 'insurance backed'?

We are terrified we are going to lose our onward purchase and be responsible for the chain collapse. Any advice appreciated. Like I say, we have spent so much money on reports and guarantees and can’t afford to keep doing so.

Thanks.

Chill. There's nothing you can do so go and get p*ssed and talk about girls/boys/football/work/holidays/whatever.

eddddy

Ja1 wrote: »

The lender has asked for a tanking guarantee (no idea what this is?) or retrospective building regulations.

With the tanking guarantee, I have the guarantee from the original builder as well as an independent surveyor who gave me a guarantee and detailed report. There is no damp. If this satisfied the lender before, why is it different now?

Firstly, the lender wants a 10 year guarantee that will cover the cost of 'fixing' the tanking if it fails.

The surveyor has confirmed that the tanking is fine at the moment, but the lender is worried that it may not have been done well, and therefore may fail in the future.

The lender wants it to be an insurance backed guarantee. That means that if the tanking fails in the next 6 years, and the builder has gone bust (or the builder refuses to fix it), an insurance company will pay for it to be fixed.


(The surveyor won't have given you any guarantee. At best, the surveyor will have prepared a report saying that the tanking is in good condition and there is no damp.)

Ja1_2

Thanks for the replies and apologies for the poor English. It was a combination of autocorrect and a lack of proof reading....would you believe it’s my job to proof read?!

I had a response from the council this morning to say we have been granted retrospective building regs for work done. This has been passed on to the lender. Surely they can’t ask for anything more?!

G_M

sounds like you are home and dry.


(ie all will be OK)

Ja1_2

As dry as the basement due to the tanking?

I’d like to think so. Building regs from the council should be enough, but something tells me they are going to ask for more.

I’ve done and provided what I was asked for so that’s all I can do for now! Stay tuned.