Writing off a building...

[Wildcat45]

Mods, I'm not sure where to post this.

Sorting out car insurance today got me wondering.

Insurance companies write cars off if they are uneconomic to repair, or beyond repair.

What about buildings?

I'm thinking for example about a low value property that is destroyed and needs to be completely rebuilt. The rebuild, arranging temporary accomodation for residents, etc etc could quite easily cost more than the market value of the property.

[Chozza]

Wildcat45 said:

I'm thinking for example about a low value property that is destroyed and needs to be completely rebuilt. The rebuild, arranging temporary accomodation for residents, etc etc could quite easily cost more than the market value of the property.

Market value of the building would be higher than the rebuild cost in most cases

You normally insure against the rebuild costs rather than the market value.. look here

https://www.nimblefins.co.uk/average-cost-rebuild-...

gives a good indication of how it works and varies by region

https://abi.bcis.co.uk/checking_sum_insured/checki... is also useful ( but you might need to register )

Edited by Chozza on Tuesday 11th May 21:16

[Wildcat45]

I see. Thanks for the links.

[Nickyboy]

Like this one?



Some giffer trying to park lurched forward and took out a column and balcony above it, only access to all the flats above. Building has been condemned but nothing has happened to it since it happened April last year. 6 flats, Chippy, Launderette, Chinese Takeaway and a Co-Op have all been affected.

[konark]

Nickyboy said:

Like this one?



Some giffer trying to park lurched forward and took out a column and balcony above it, only access to all the flats above. Building has been condemned but nothing has happened to it since it happened April last year. 6 flats, Chippy, Launderette, Chinese Takeaway and a Co-Op have all been affected.

You ok, hon?

[QuickQuack]

Chozza said:

Wildcat45 said:

I'm thinking for example about a low value property that is destroyed and needs to be completely rebuilt. The rebuild, arranging temporary accomodation for residents, etc etc could quite easily cost more than the market value of the property.

Market value of the building would be higher than the rebuild cost in most cases

You normally insure against the rebuild costs rather than the market value.. look here

https://www.nimblefins.co.uk/average-cost-rebuild-...

gives a good indication of how it works and varies by region

https://abi.bcis.co.uk/checking_sum_insured/checki... is also useful ( but you might need to register )

Edited by Chozza on Tuesday 11th May 21:16

Rebuild costs are also affected by other things such as listed status. If a listed property is damaged or destroyed, rebuilding or repairing it may well cost significantly more than the market value of the property, especially if rare/ancient specialist techniques are needed to rebuild. We get an insurance survey done every few years for this purpose and the rebuild cost is calculated separately. It sits at around 120-150% of the market value of the house, but as it's listed, it'd need to be rebuilt as it is so it's insured for the appropriate rebuild cost.

[elanfan]

konark said:

You ok, hon?

Knobber!

[anonymous-user]

Nickyboy said:

Like this one?



Some giffer trying to park lurched forward and took out a column and balcony above it, only access to all the flats above. Building has been condemned but nothing has happened to it since it happened April last year. 6 flats, Chippy, Launderette, Chinese Takeaway and a Co-Op have all been affected.

This one is a bit like the "crash for cash" thread running ?
https://www.liverpoolecho.co.uk/news/liverpool-new...
Not much left of the building.
And also a 'supply' or you could say 'billing' company were dragged thru court for a fair few quid as well due to Blasio's illegal actions?
https://www.liverpoolecho.co.uk/news/liverpool-new...

[Herb ashus boarder]

Local authorities demolish houses and flats