Indemnity insurance on new build

[joe90]

This has been talked about before but can’t find it or remember the outcome. As I only have building regulations approval on my new build if I sell can anyone recommend a company who does indemnity insurance that will satisfy a mortgage company? 

[Dave Jones]

the solicitor will sort it for you, its routine for them.

[nod]

2 hours ago, joe90 said:

This has been talked about before but can’t find it or remember the outcome. As I only have building regulations approval on my new build if I sell can anyone recommend a company who does indemnity insurance that will satisfy a mortgage company? 

Unfortunately for many lenders they would want a full ten year building warranty 

Protec will do a retrospective warranty that assumes everything underground was done to drawing 

A friend spend about a week sorting his out For his forever home 

That  he was selling 

18 months after he had completed it 

[joe90]

12 minutes ago, nod said:

Protec will do a retrospective warranty that assumes everything underground was done to drawing

that’s why building control visit to make sure it’s done right. I still do not understand if a building is done to regs (or better) why another form of certificate is required. 

[Dave Jones]

because building cert isnt worth the paper its printed on. I think they were on site for total 20 mins during the entire build.

[Thorfun]

4 minutes ago, Dave Jones said:

because building cert isnt worth the paper its printed on. I think they were on site for total 20 mins during the entire build.

are the visits by the warranty building inspector more comprehensive then?

[Dave Jones]

1 minute ago, Thorfun said:

are the visits by the warranty building inspector more comprehensive then?

 

not for me was the same bloke who did the BC inspections and he didnt stay twice as long!

[Thorfun]

27 minutes ago, Dave Jones said:

 

not for me was the same bloke who did the BC inspections and he didnt stay twice as long!

then it gives more credence to the following statement from @joe90

 

38 minutes ago, joe90 said:

that’s why building control visit to make sure it’s done right. I still do not understand if a building is done to regs (or better) why another form of certificate is required. 

 

I completely agree with Joe here as well. struggling to justify the need for the warranty but it seems like I'll have to get one just in case we need to mortgage or sell. very frustrating and wasteful of funds that could be used elsewhere.

[Dave Jones]

its to cover the risk to the bank. They are only structural so really its all about the foortings. BC never hang around to see them fully dug and filled and even if they did whos to say they wont move and cause subsidence depite you  doing them exactly right to the drawing.

 

The bank now has a loan on a worthless house, the BC company could no way afford to pay out and would go bust leaving you back at square 1.

 

Too much risk for the banks so they make you pay to cover their asses.

 

My second self build i was very very lucky with warranty, I used a company called CRL who were recommended to me by building control. The went bust the month after I sold the property. If I hadn't completed when I did I would have had to have paid for another one as well. BC told me he had sites where there were 20 houses not finished that the builder had to pay out for again.

Edited November 12, 2020 by Dave Jones

[Thorfun]

3 minutes ago, Dave Jones said:

its to cover the risk to the bank. They are only structural so really its all about the foortings. BC never hang around to see them fully dug and filled and even if they did whos to say they wont move and cause subsidence depite you  doing them exactly right to the drawing.

 

The bank now has a loan on a worthless house, the BC company could no way afford to pay out and would go bust leaving you back at square 1.

 

Too much risk for the banks so they make you pay to cover their asses.

yeah, I get that. but if the warranty checks are no different or more comprehensive than standard BC checks then it's just a waste of money to pay for extra checks. I guess that's the benefit of using the same person for BCS and Warranty.

[Dave Jones]

your not paying for extra checks they are the same as BC, just happens many BC firms are in bed with certain warranty companies so do both otherwise you would have 2 blokes come out to check. I believe buildstore dont use any BC so you get 2 visits.

[Thorfun]

1 minute ago, Dave Jones said:

your not paying for extra checks they are the same as BC, just happens many BC firms are in bed with certain warranty companies so do both otherwise you would have 2 blokes come out to check. I believe buildstore dont use any BC so you get 2 visits.

yeah, sorry. didn't mean extra checks, that was the wrong wording. I mean the same checks done twice!

 

the AI recommended by our architects has ties with a warranty provider where he'll do the warranty and BCS checks for the same fee. it seems that other warranty providers seem to offer the same thing.

[Dave Jones]

oh he will be getting paid twice. If you look at the warranty cost breakdown it includes site monitoring fees.

[nod]

2 hours ago, Dave Jones said:

because building cert isnt worth the paper its printed on. I think they were on site for total 20 mins during the entire build.

Ha ha 

same here Final inspection went 

“Can’t stop colleague off sick

I need cert for slate gas electric and BC sign off”

Didnt look upstairs or outside 

 

[joe90]

Mine was good, examined everything, only thing he didn’t ask for was figures for the MVHR (which is still not done yet but I copied Jeremy’s figures on a spread sheet ?)