Should we proceed with an Indemnity policy for a property with planning uncertainty

dark_knight005

@loubel thanks for the reply. The property is around 6 years old.

TheJP

I think this is all down to terminology and has no bearing whatsoever. How old is the house? Sometimes developers add something as a playroom to make it more attractive to potential buyers. 

dark_knight005

Hi @EssexHebridean thanks for the reply. So unfortunately its not really in like a big estate. Its a small estate where all the houses I think have been built by different developers so they are all pretty unique. Ok would you advise going ahead with the indemnity policy and through with the purchase? Everything else on the house seems fine its just been this stumbling block really and we don't know if we are making an issue out of nothing.

user1977

dark_knight005 said:

I think the main thing we were worried about is that potential buyers in future will look at it as a 3-bedroom property and try and negotiate down.

They won't, unless they're as badly-advised as you seem to be. It's got x number of rooms which could potentially be used as bedrooms, it's got an overall floor area of y, etc.

TheJP

dark_knight005 said:

@user1977 Ye I feel that sometimes that they doesnt have a clue ... they also arent very good at communicating . Our first experience of solicitors isnt a good one. Thanks for this, it gives us a bit of confidence now to move forward with the purchase. I think the main thing we were worried about is that potential buyers in future will look at it as a 3-bedroom property and try and negotiate down.

Potential buyers will see that its a 4 bed when they view. I'm sure thats why you offered in the first place. Just because a piece of paper calls it a playroom doesnt change the floor space so wouldnt affect the price nor be grounds for renegogiation.

Hoenir

user1977 said:

 I suspect the most likely answer is that your solicitor doesn't know what they're doing...

Solicitor hasn't seen the property. The indemnity policy is the cheapest way of addressing the OP's fears. Spending time on the matter would be extremely costly. 

A room is a room. What's it's used for is entirely up to the owners. 

user1977

dark_knight005 said:

Ok would you advise going ahead with the indemnity policy 

Why do you think there is any value in an indemnity policy? Nobody seems to have identified a risk needing insured against.

user1977

Hoenir said:

user1977 said:

 I suspect the most likely answer is that your solicitor doesn't know what they're doing...

Solicitor hasn't seen the property. The indemnity policy is the cheapest way of addressing the OP's fears. Spending time on the matter would be extremely costly.

Yes, and getting an indemnity policy is going to incur more time (and the OP's money) rather than just reassuring them that there is not in fact any risk warranting insurance.

dark_knight005

@user1977 @Hoenir I believe the sellers are paying for the indemnity policy to be put in place (although I need to double check this).

dark_knight005

user1977 said:

dark_knight005 said:

Ok would you advise going ahead with the indemnity policy 

Why do you think there is any value in an indemnity policy? Nobody seems to have identified a risk needing insured against.

This was just because our solicitor has recommended based on the fact that she thinks there is a potential planning permission breach