Tag Archives: insurance
Not all estate agents ask about neighbours when selling a house
Only 40% of estate agents ask people selling their home if they have issues with their neighbours at a time when issues from next door can knock thousands off the price of a property, new research shows. It is clear that not all estate agents want to ask the question when it comes to neighbourly problems and 10% rely solely on the purchasers’ solicitor or conveyancer to investigate existing issues with neighbours. The research from Churchill Home Insurance also found that according to estate agents the most contentious disputes are over communal space. Over half, 56%, of the estate agents surveyed identified this as the major issue while 10% said it was noise and 8% boundaries. Dogs and anti-social behaviour were also cited. Some 14% of estate agents highlighted cases where the seller had to drop the price of a property because of issues with neighbours. The average price drop was 3.8%, around £7,000 in England and Wales and £6,400 in Scotland. Churchill’s research also reveals that 20% of estate agents ask sellers if they have had issues with their council and 15% of these would pass this information on to the prospective buyer. As such, it is vital that prospective buyers ask the right questions to ensure they get all of the information they require to make an informed purchase, the firm said. Buyers are relying on their solicitors or conveyancers to investigate issues with potential new neighbours. The conveyancing process can unravel any open disputes or circumstances that could lead to disagreements, but the subjectivity of loud music or an aggressive neighbourhood dog means these checks may not capture potential day to day problems. ‘Buying a property is one of the most expensive decisions many of us will ever make. As such, we are well within our rights to be informed about issues that may affect our buying decision,’ said Martin Scott, head of Churchill Home Insurance. ‘Buyers should ask their estate agent to disclose as much as information as they can about the property, seller and neighbours to help the buyer make the right decision,’ he added. He also pointed out that since the demise of the Property Misdirection Act in 2013, estate agents are required under the Consumer Protection from Unfair Trading regulations to reveal any negative issues about a property, if known to them, which may affect the buying decision. If an estate agent has been made aware of a nightmare neighbour or previous council disputes, they are obliged to inform the buyer. Withholding information that could affect the buying decision could land estate agents in hot water. They may be subject to legal action and fines of up to £5,000 and/or two years in prison. Churchill says that buyers should not be afraid to ask questions and when they meet the estate agent or seller they should specifically about issues such as past/ongoing disputes and the… Continue reading
Call for flood data to be included in UK home sales material
People looking to buy a home in the UK should be given more upfront information about the property’s flood risk, it is clamed, with a survey showing that the vast majority want it included on sales details. Some nine out of 10 people believe that flood risk information should be included on material about properties for sale, according to a study from the Association of British Insurers (ABI). At present no property search websites include flood risk information for the location of properties they list despite having data on anything from school catchment areas to most commonly read newspapers in the area, the ABI points out, adding that there is also a lack of flood risk information on brochures for new build properties. The association is calling for estate agents and property search websites to automatically provide traffic light style information indicating flood risk for the locations of the homes they list. This should be based on publicly available Environment Agency data. It says that all solicitors and conveyancers need to follow the Law Society’s guidance to conduct specific searches for flood risk, and to arrange for an in depth assessment by a technical expert if there is any flood risk to the property. These proposals are in line with a recommendation from the Pitt Review into the 2007 floods, that people buying a property should have access to upfront flood risk information. This information would not be a definitive guide to flood risk on an individual property but would be a very good indication of where further investigations could be necessary. The ABI is also publishing a new house hunters’ guide to advise people of the steps they should take in the meantime to stay informed about the flood risk of properties they are considering. ‘Flooding can ruin a home, destroying valuable possessions and often force you to move out while repairs are made. A higher risk of flooding also tends to mean higher insurance premiums,’ said ABI director general Huw Evans. ‘With one in six homes at risk of flooding, we need to make thinking about flood risk as much part of the home buying process as school catchment areas and transport links. At the moment, information on whether a property is at risk of flooding comes too late, often when people have already invested hundreds if not thousands of pounds in the conveyancing process,’ he pointed out. ‘That’s why we are calling for those who sell properties to include new traffic light warnings on flood risk in a property’s area. You can currently get more information about what paper your new neighbours might read than if a particular property might be at flood risk,’ he explained. ‘These simple warnings will help people go into the home buying process with their eyes open and knowing whether further investigations are necessary. We now want to work with estate agents, property websites and the Environment Agency to make this happen,’ he added. He also pointed… Continue reading
Research reveals the cost of bungled DIY by UK home owners
As home owners in the UK gear up for a bank holiday of DIY, new research shows that bungled workmanship leads to 90% paying the cost rather than claiming on insurance. Britain’s amateur handymen are set for a disastrous May bank holiday, according to research from the Nationwide Building Society and just 10% are likely to recover the costs of their mistakes by claiming on their insurance. But many people are completely unaware they can claim for accidental damage caused in this way, according to Nationwide’s head of general insurance, Martyn Dyson, when some 80% carry out home improvements themselves rather than asking a professional for help. Many undertake manageable tasks with 70% opting to do some wallpapering and painting, 65% bleeding a radiator and 62% improving the garden. Some tackle more onerous DIY with 24% knocking down walls, 21% laying loft insulation, 12% fitting a new kitchen or fitting a new bathroom. The research reveals the top disasters. Some 35% suffer spillages, including paint, glue or white spirit, 22% marking the walls, and 10% damage to furniture, breaking a window and damage to flooring. Some 90% of those who admitted to home improvement horrors ended up paying the cost of their mistakes themselves rather than claiming on their home insurance. And with 19% of people with DIY horror stories causing over £200 of damage, not knowing what your home insurance covers you for can prove quite costly. ‘The May bank holiday is prime time for getting stuck into jobs around the home you’ve been putting off. Unfortunately, you can end up causing more damage than good, especially if you’re inexperienced,’ said Dyson. ‘Nationwide’s advice to anyone looking to do home improvements this weekend is to not rush into it, stop and think about the job in hand, be realistic about your capabilities and make sure you are covered if things do go wrong, as not all policies include accidental damage like Nationwide’s Home Insurance. As the survey shows, many people may be completely unaware they can claim for accidental damage in this way,’ he added. Continue reading
