Mortgage Protection on House in Cork City - Subsidence Cover

[theboringfox]

Hi

We are mortgage approved with BoI. We are looking at second hand houses in a few areas in Cork City and mainly on southside (due to work).

The issue is BOI is saying we must have insurance with subsidence cover. Talking to brokers this is very hard to get unless its a fairly new house or there is full certification of underpinning by an engineer. Just is not available on lot of houses in second hand market.

I heard UB did not seek evidence of subsidence cover but they have stopped new business. I talked to a broker who suggested if you go via them they just fill in an indemnity form for insurance so there is no specific question/check on subsidence cover but they say the valuation report may still alert bank to risk of subsidence based on location.

So I am wondering how do mortgage buyers proceed in this market? Is there other banks who are less strict then BoI and if so who?

Just getting frustrated a bit now.

Thanks for any feedback or help.

John

 

[Clamball]

I thought most houses were coved with an exception for subsidence. We had our house underpinned about 20 years ago but when I was phoning around for insurance a few years ago one company would not quote because of risk of subsidence. It’s grand I said we have had the underpinning done. No joy they said, we would have to check ourselves it was done correctly. So I dug out the paperwork and they were the insurance company we had claimed off back in 2004. Oh they said we need to talk to our engineers, and they eventually came back and said the risk was never going to be zero so they would not quote. So our house is covered with the exception for subsidence.

Can BOI give you any steer on who has insured for subsidence on other similar properties in Cork that they insisted on in recent times. Best you can do is revert to them with all your rejected quotes and ask them what the next steps are.

 

[pablo123]

O Mahoney , Walsh insurers in Ballincolllig insured a friend of mine not too long ago , The policy included subsidence cover , She bought in Ballincollig where subsidence is an issue , So worth a phone call .