Buying a House with Minor Subsidence: Comprehensive Guide

Buying a House with Minor Subsidence: A Comprehensive Guide

Introduction

Purchasing a house is a significant investment, and discovering that a property has minor subsidence can be concerning. However, minor subsidence issues can often be managed and resolved effectively, allowing you to proceed with the purchase confidently. This guide explores what subsidence is, how to identify it, the implications for buying a house, and steps to take if you decide to move forward with the purchase.

What is Subsidence?

Subsidence occurs when the ground beneath a building sinks, causing the building’s foundations to shift and settle unevenly. This can lead to structural damage, such as cracks in walls, floors, and ceilings. Minor subsidence is less severe and usually progresses slowly, making it manageable with appropriate measures.

Identifying Subsidence

1. Visible Cracks:

   • Look for diagonal cracks that are wider than 3mm, especially around windows and doors. These cracks may indicate movement in the building’s foundations.

2. Uneven Floors:

   • Check for sloping or uneven floors. Subsidence can cause floors to tilt or become uneven.

3. Sticking Doors and Windows:

   • Doors and windows that become difficult to open or close may be a sign of subsidence.

4. Gaps Between Walls and Floors:

   • Noticeable gaps between walls and floors or around skirting boards can indicate that the structure has shifted.

5. External Signs:

   • Look for cracks in the external walls, especially if they appear wider at the top than the bottom.

Implications of Buying a House with Minor Subsidence

1. Valuation and Mortgage:

   • Lenders may be cautious about providing a mortgage for a property with subsidence issues. A full structural survey will likely be required, and the mortgage offer may be subject to certain conditions.

2. Insurance:

   • Obtaining buildings insurance for a property with subsidence can be more challenging and expensive. Some insurers may refuse coverage or impose higher premiums and excesses.

3. Repair Costs:

   • Minor subsidence typically requires remedial work, such as underpinning, which can be costly. Ensure you budget for these potential expenses.

4. Resale Value:

   • Subsidence issues can affect the resale value of the property. Potential future buyers may be deterred by the history of subsidence, even if it has been resolved.

Steps to Take When Buying a House with Minor Subsidence

1. Commission a Structural Survey:

   • Hire a qualified structural engineer to conduct a detailed survey of the property. The survey will assess the extent of the subsidence, its causes, and the necessary remedial work.

2. Obtain Repair Estimates:

   • Get estimates from reputable contractors for the cost of repairs. This will help you understand the financial implications and negotiate the purchase price with the seller.

3. Check Insurance Availability:

   • Before proceeding, check with insurance providers to ensure you can obtain buildings insurance for the property and understand the terms and costs involved.

4. Negotiate with the Seller:

   • Use the survey report and repair estimates to negotiate a lower purchase price or request that the seller addresses the subsidence issues before completion.

5. Consult with Your Mortgage Lender:

   • Inform your mortgage lender about the subsidence and provide them with the survey report. Ensure they are willing to lend on the property and understand any conditions they may impose.

6. Plan for Repairs:

   • If you decide to proceed with the purchase, plan and budget for the necessary repairs. Ensure that the work is carried out by experienced professionals to prevent further issues.

How Fraser Bond Can Assist

At Fraser Bond, we offer comprehensive support for buyers considering properties with subsidence issues:

1. Professional Surveys:

   • We arrange for detailed structural surveys by qualified engineers to assess the extent of subsidence and recommend appropriate remedial work.

2. Expert Advice:

   • Our team provides expert advice on negotiating with sellers, obtaining insurance, and securing a mortgage for properties with subsidence.

3. Cost Estimates:

   • We help you obtain accurate repair estimates from reputable contractors, ensuring you have a clear understanding of the financial implications.

4. Ongoing Support:

   • We provide ongoing support throughout the buying process, from initial viewing to completion, ensuring a smooth and informed purchase.

5. Insurance and Financing:

   • We assist in finding suitable insurance providers and liaising with mortgage lenders to secure favorable terms for your purchase.

Conclusion

Buying a house with minor subsidence requires careful consideration and thorough investigation. By understanding the implications, conducting a detailed structural survey, and obtaining repair estimates, you can make an informed decision and negotiate effectively. Fraser Bond is committed to providing expert guidance and comprehensive support to help you navigate the complexities of buying a property with subsidence issues. Contact us today to learn more about how we can assist you in making a confident and successful purchase.