Need advice from residential Developers
Discussion
I have a property which I have recently vacated. It is unfurnished & in need of renovation which I plan to complete next year.
I have a relatively small mortgage (about 25% compared to the relative value of similar furnished properties) which may be about to default because I cannot get buildings insurance. I cannot get buildings insurance because the property is uninhabited.
What are my options (if any)?
Also, I am being told that I am entitled to only 6 months exemption on council tax. Apart from being unfair, is that right & is there anything that I can do about it?
Thanks in advance.
I have a relatively small mortgage (about 25% compared to the relative value of similar furnished properties) which may be about to default because I cannot get buildings insurance. I cannot get buildings insurance because the property is uninhabited.
What are my options (if any)?
Also, I am being told that I am entitled to only 6 months exemption on council tax. Apart from being unfair, is that right & is there anything that I can do about it?
Thanks in advance.
Smiler. said:
Also, I am being told that I am entitled to only 6 months exemption on council tax. Apart from being unfair, is that right & is there anything that I can do about it?
Thieving barsteward council. Had a property unoccupied for a year and had to pay 6 months council tax for the year. IIRC I had to pay every month 50% of what I should have paid, I thought it was a real sneaky way of doing it.Edited by Griff Bitch on Thursday 29th November 17:02
Which insurance companies have you tried? I am sure there are insurance schemes out there that are ok for empty houses. You'd probably pay a bit more for the premium but it'd be a lot less in the long run than trying to raise finance in the sub prime market where you'd find yourself. Have you tried calling a specialist insurance broker for advice?
The insurers concerns are to do with two main problems.
1. damage caused to the fabric of the building by 'events' which escalate due to the unoccupancy. e.g. frost/water leaks, un-fixed leaks in the roof etc.
2. damage caused by vandals and or squatters, where again the problem isn't just the breakage, but the attendant deterioration of the structure if matters are left unattended.
Get an insurance company where you can have a dialogue with the underwriters. They will impose conditions, raise the premium and or make specifc exclusions. But if you have a regular plan of inspections, have people on site most days, then I'm sure some cover can be arranged, and will revert to normal terms once there is occupancy.
1. damage caused to the fabric of the building by 'events' which escalate due to the unoccupancy. e.g. frost/water leaks, un-fixed leaks in the roof etc.
2. damage caused by vandals and or squatters, where again the problem isn't just the breakage, but the attendant deterioration of the structure if matters are left unattended.
Get an insurance company where you can have a dialogue with the underwriters. They will impose conditions, raise the premium and or make specifc exclusions. But if you have a regular plan of inspections, have people on site most days, then I'm sure some cover can be arranged, and will revert to normal terms once there is occupancy.
Might be easier to get a new mortgage with a lender happy to lend you only 25% of its value. A specialist lender will also be able to offer insurance or be able to recommend a company.
No doubt it will cost you more in fees and higher interest rate but in the whole scheme of things (you've made a lot of money on the property) it's probably the quickest and easiest.....well it would be if I knew such a lender.
No doubt it will cost you more in fees and higher interest rate but in the whole scheme of things (you've made a lot of money on the property) it's probably the quickest and easiest.....well it would be if I knew such a lender.
jamesuk28 said:
I have several vacant properties which are insured. I have full buildings insurance in place on the condition the property is quickly checked every 14 days. The insurance is through my broker but the Insurance provider is HISCOX. I suggest you give them a try.
No dice with Hiscox 
tonyscott said:
timskipper said:
Why would you default on your mortgage because you can't get insurance?
I presumed by default he meant being unable to pay, which sounded very odd when the thread was about not being able to get insurance. I guess what he means is the mortgage company will call in his loan because of the condition of having insurance.
It seems a bit harsh if that gets recorded as a default if he's still paying/able to pay.
Surely anyone with properties they let has this empty house situation at some point when they're between tenants?
Ring Halifax home insurance 0845 600 6001. Tell them you have bought a property that YOU INTEND TO LIVE IN after the builders have refurbed it and make sure you tell them it is unoccupied during building BUT SECURE (ie doors and windows locked etc.)
They will do buildings only cover for as long as your builders are in.
HTH
They will do buildings only cover for as long as your builders are in.
HTH
Smiler. said:
jamesuk28 said:
I have several vacant properties which are insured. I have full buildings insurance in place on the condition the property is quickly checked every 14 days. The insurance is through my broker but the Insurance provider is HISCOX. I suggest you give them a try.
No dice with Hiscox Try 2 brokers first, brett and randall http://www.brettandrandallinsurance.co.uk/
Or failing that FG Watts Northampton
jamesuk28 said:
Smiler. said:
jamesuk28 said:
I have several vacant properties which are insured. I have full buildings insurance in place on the condition the property is quickly checked every 14 days. The insurance is through my broker but the Insurance provider is HISCOX. I suggest you give them a try.
No dice with Hiscox Try 2 brokers first, brett and randall http://www.brettandrandallinsurance.co.uk/
Or failing that FG Watts Northampton
Smiler. said:
jamesuk28 said:
Smiler. said:
jamesuk28 said:
I have several vacant properties which are insured. I have full buildings insurance in place on the condition the property is quickly checked every 14 days. The insurance is through my broker but the Insurance provider is HISCOX. I suggest you give them a try.
No dice with Hiscox Try 2 brokers first, brett and randall http://www.brettandrandallinsurance.co.uk/
Or failing that FG Watts Northampton
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