It is difficult to predict the number of homes in the UK that will experience some form of subsidence, but the British Insurance Brokers Association estimates its at around 20% and the problem is likely to worsen as we experience the impact of Global Warming.
Insurance claims are expensive for the industry, and in 2018, one of the driest summers on record, insurance claims increased tenfold during that summer and autumn. We are already heading into another very dry summer with the National Drought group meeting recently after the dryest spring in 132 years.
On top of that the area we live in, in the South East of England, is the most affected, and this is due to the Wealdon Formation, which is made up of clay-rich soils that are prone to expand and contract with the changing moisture content.
I was asked this week to look at some information that had been provided by a seller’s insurance broker on potential subsidence in a property in Yately, Hampshire. The property is an end of terrace, it had been rented out for several years and is now on the market. My client is a cash buyer and wanted to understand the work that had been carried out and exactly what he might be getting into.
The client had picked up cracks in the gable end wall, there were uneven floors internally, and another tell-tale sign was that the windows were sticky and not closing properly. From what he told me I recommended he gets a drainage CCTV survey report as there maybe issues with cracked drains that maybe a factor in movement. He has decided to undertake this in parallel to our Level 3 survey.
The property appears to be good value, and the client is very interested in moving ahead, once we have sight of the drainage report and we have undertaken the Level 3 survey, sometime referred to a structural survey. My client will then get a detailed report which he can discuss with the vendors and also decide on what action should be taken. If we do find signs of subsidence then we will suggest that a structural engineer is involved to guide on the specific remedial action required and provide a schedule of works to be price. At that stage the client will be in a position to renegotiate the sale price if he still wishes to proceed.
It’s important to get in a surveyor when you see cracks appearing in your property, as it can become difficult to sell your property if it is found to have any subsidence, as most mortgage companies are unlikely to lend and it would be vert difficult to obtain Building Insurance.
So, if you are thinking of selling your property, it is recommended to obtain professional advice early so you have time to rectify any issues and discuss your options.
