Think our purchase us about to fall through

[NotQuiteUsual]

We're months down the line in the process with the vendors pushing to sort a completion date. But it looks like things are going to fall apart. I could cry. Basically because it was built 6 years ago its still under the new build warranty which we need for our mortgage. We have the certificate, but because the architecht who carried it out has passed away and his practice has therefore folded, no record of the indemnity insurance can be found.

Our solicitor is asking our lender if we can go ahead with the mortgage in these circumstances, and I have no idea on the odds of them giving clearance. Or the conditions if they do. Its looking very bleak really. I just pray if it falls apart it happens tomorrow as my dream house has come up on rightmove in budget.

I don't know what I'm expecting of this thread as no one has the crystal ball I need. Just need to vent.

My house was built Bryant Homes who went bust, the certificate was still valid.

I think the problem is deeper than the certificate, at least I've been led to believe so. Its the insurance side as opposed to the certificate. If we had a structural issue in the next few years, there's no record of the insurance for us to claim against. So it essentially makes the certificate useless. This is what I've been told, if its as big of a thing as I've been led to believe that it is of course.

Although the architect has died, I believe there will be a requirement for his business to maintain insurance for a period We had a similar issue with a relative who sadly died, not an architect but a similar profession and if I remember correctly, insurance had to be maintained for 7 years.

Have you looked him up on Companies House or contacted RIBA for advice?

Also, view the house on Rightmove.

There has been a search on companies house and with a national insurance register and nothing has been found. I'll look up RIBA and get the ball rolling on that. Yes I'm leaning towards viewing the house. I think I'll call our solicitor and have a Frank discussion about how likely we are to be able to go forward.

If the mortgage company want to know things are covered, would they accept the vendor taking out an indemnity along whatever wording the mortgagee requires? The vendor may have to suck something like this up, as it's obviously going to come up for most buyers.

I'm hoping that it's possible. But we'll just have to wait and see. The vendors are loosing patience as its turned out to take a lot longer than predicted due to a few things that were simple but time consuming to sort. They've pushed for a completion date. But they can push all they like, we can't exchange let alone complete if we're not meeting our mortgage requirements.

I think, and I may be wrong so don't take this as read, but when the NHBC certificate is issued, it's underwritten by a third party insurance firm who will step in when there's an issue such as this.

Double check, though.

Why do you need to prove an indemnity policy on your current house for the mortgage on your new house? You mean you need to provide it for your buyer for their mortgage? Or the vender won’t give it to you to give to your mortgage company?

We’re in a similar situation. The house we’re buying is missing new build paperwork. We still want the house so are persevering but we lost our mortgage offer and have had to apply to a small building society with a worse rate to try to keep things going. Our vendors are bending over backwards to help as they know it’s their fuck up and any subsequent buyers who need a mortgage will have the same issue.

@OhFensa I'm so sorry you're in the same position. Its so stressful. If we loose our mortgage offer I'll be devastated. But what can I do? I can't magic insurance for someone else's property.

So if I am understanding correctly, the vendors are losing patience because they are the ones missing paperwork making their property unmortgageable?

If that’s the case then literally none of this is your problem! You should be quick to remind them that every other buyer will have the same issue!

Yes I laid it out in an email to my vendors estate agent as to how much of a problem they had on their hands and the implications and that it was 100% an issue on their side not mine. It helped kicked them into action.

Yes its frustrating they're pushing us when it's their issue. It doesn't help that our solicitor has worse levels of communication than your average conveyancer. But I can't deny her work has been thorough.

I need to toughen up about this! It really is their issue that they've pushed down the road till its become critical. If the chain collapses it'll be on them.

We're viewing the other house on Friday and hoping we've heard back from our mortgage provider by then. We can always cancel the viewing if things can go ahead, but having a back up that I really like is easing my anxiety a bit.

Well positivish development. The lender looks like they'll accept an indemnity insurance policy. The solicitor is sending the policy over for approval and the lender has told me to call this afternoon and they'll escalate it for me so we get a response sooner.

The vendors will be pissed they have to spend £300 extra and if they refuse we'll have to suck up the cost just to get this over the line. But hopefully by Tuesday we'll be out of limbo.

That sounds positive, I hope it goes well.

The bank accepted an indemnity policy. We just need our solicitor to confirm she thinks there's no risk for out bank and then we should be exchanging(unless something else comes up who knows?!)