GARDEN PLOT BUILD & EXISTING HOUSE INSURANCE

[KJG]

Hello

 

Being new to the group I'm looking for some advice about insuring my existing home whilst my new build takes place.

 

I am building a new house in my garden alongside my existing house that I am living in. When complete I plan to move in to the new house and sell the house I am in now.

 

I contacted my house insurance company to tell them what was happening and they have told me that they can't cover the existing home anymore because of the build.

 

This must be a fairly common situation and I wondered whether anyone here has had the same issue and has found an insurer that will provide cover. 

 

As of two days ago I'm no longer insured, which is a worry to say the least, despite trying to find an underwriter that will cover me.

 

Kevin 

[garrymartin]

Do you own your current home outright or is it mortgaged?

[Moonshine]

Are the two plots separate in title? If they are then get normal house insurance against the existing house, and self build insurance on the plot.

 

We had no issue with insurance doing it this way.

[garrymartin]

8 minutes ago, Moonshine said:

Are the two plots separate in title? If they are then get normal house insurance against the existing house, and self build insurance on the plot.

 

That was going to be my advice, but I asked about the mortgage as that can sometimes cause issues with splitting the plot as the value of the existing home drops. Depends on the mortgage value of course.

 

If there is no mortgage, then I'd split the title. The OP will need to do that at a future point anyway.

[KJG]

Thanks for your replies; the house is owned outright (no mortgage) and I was considering splitting the title at the end of the build but have since approached a solicitor about doing it now.