House has underpinning but no claims in last 16 years - is it mortgageable?

AndyDufresne

I'm in the middle of a house purchase.

The contract pack has revealed that the seller knows that the property is underpinned, but there have been no claims since they've had the property (last 16 yeas). They also state they have buildings insurance for the house. My solicitor has sent further enquiries to establish if there is any documentation for the underpinning, when it was done, etc. An additional 'terra search' has been paid for (a lender requirement apparently), though not exactly sure what this will reveal. It is apparently just 'historical' subsidence.

I have received my mortgage offer (Natwest).


1) How big of a problem is this for the mortgage offer?

2) How hard is it to get buildings insurance with underpinning on the property?

3) What is the lender likely to require (i.e. additional surveys)?


Thanks

K_S

@AndyDufresne Quick comments based on the limited info in your post -

1. Unlikely to be an issue.

2. You should be able to get an idea by using one of the comparison sites, putting in the appropriate answers for where it asks about subsidence history. Your vendor should also have a pretty good idea.

AndyDufresne said:

I'm in the middle of a house purchase.

The contract pack has revealed that the seller knows that the property is underpinned, but there have been no claims since they've had the property (last 16 yeas). They also state they have buildings insurance for the house. My solicitor has sent further enquiries to establish if there is any documentation for the underpinning, when it was done, etc. An additional 'terra search' has been paid for (a lender requirement apparently), though not exactly sure what this will reveal. It is apparently just 'historical' subsidence.

I have received my mortgage offer (Natwest).

1) How big of a problem is this for the mortgage offer?

2) How hard is it to get buildings insurance with underpinning on the property?

3) What is the lender likely to require (i.e. additional surveys)?

Thanks

AndyDufresne

K_S said:

@AndyDufresne Quick comments based on the limited info in your post -

1. Unlikely to be an issue.

2. You should be able to get an idea by using one of the comparison sites, putting in the appropriate answers for where it asks about subsidence history. Your vendor should also have a pretty good idea.

AndyDufresne said:

I'm in the middle of a house purchase.

The contract pack has revealed that the seller knows that the property is underpinned, but there have been no claims since they've had the property (last 16 yeas). They also state they have buildings insurance for the house. My solicitor has sent further enquiries to establish if there is any documentation for the underpinning, when it was done, etc. An additional 'terra search' has been paid for (a lender requirement apparently), though not exactly sure what this will reveal. It is apparently just 'historical' subsidence.

I have received my mortgage offer (Natwest).

1) How big of a problem is this for the mortgage offer?

2) How hard is it to get buildings insurance with underpinning on the property?

3) What is the lender likely to require (i.e. additional surveys)?

Thanks

Righto. What would be reasons for a lender withdrawing the mortgage offer if the house is underpinned? Is there a certain threshold in terms of risk? 

Also, is it likely to cause any other issues besides the mortgage and insurance?