Does nationwide accept Local search indemnity insurance - FTBs buying 1930s semi

Lunielumps

Has anyone got search indemnity insurance when buying a property with a mortgage from Nationwide? 

Our solicitor has recommended that because they don't expect our Local Authority search to be returned for another 4 weeks, we should consider the indemnity insurance as the vendor is threatening to pull out of the sale if we don't complete soon. 

The solicitor said she thinks Nationwide will accept the insurance based on info from the lenders handbook, but from what i read it seems clear they won't in our circumstance (we're not remortgaging, not buying a new build) https://lendershandbook.ukfinance.org.uk/lenders-handbook/englandandwales/question-list/2081/

Has anyone using a Nationwide mortgage to buy a (non new build) house been allowed to use search indemnity insurance?

Thanks!

user1977

That says they accept delayed search indemnity insurance, which ought to be sufficient for your purposes.

Lunielumps

Thanks @user1977, i hadn't realised there was a difference between no search and delayed search insurance! 

The nationwide website says "For second-hand purchase transactions, we do not accept search insurance and we require a local search to be completed in all circumstances." 

I had assumed that by "search insurance" that covers both no search insurance and delayed search insurance - can't see anything specific on their site about delay insurance being okay for second hand purchases. 

Has anyone here been allowed to use delayed search insurance with a nationwide mortgage?

Thanks 

user1977

Lunielumps said:

The nationwide website says "For second-hand purchase transactions, we do not accept search insurance and we require a local search to be completed in all circumstances." 

I had assumed that by "search insurance" that covers both no search insurance and delayed search insurance - can't see anything specific on their site about delay insurance being okay for second hand purchases. 

I think what they mean is that you must instruct a search (even if the results don't come back until after completion). That's the only interpretation which makes sense, given what they say about newbuild.

seven_tesla

I belive your solicitor can request that they accept delayed search indemnity on an ad hoc basis, even though thier website says they don't.  That was our experience a few months ago heading towards the first SD deadline.

kingstreet

Your solicitor is acting for the lender as well as acting for you. The solicitor should be establishing what Nationwide will or won't accept. It isn't your responsibility.

Lunielumps

Our solicitor has quoted £145.00 for the delayed search insurance + her legal fees to arrange it - sounds pretty steep to me but i have no real context on whether it is the legal fees significantly inflating the price

Irishpearce26

Lunielumps said:

Our solicitor has quoted £145.00 for the delayed search insurance + her legal fees to arrange it - sounds pretty steep to me but i have no real context on whether it is the legal fees significantly inflating the price

Have you tried to get a quote for a policy yourself? That's probably about right but your best to check online.