Does anyone know what are the problems associated with selling a house renovated as an owner builder whithout building insurance? (NSW)
Having done some enquiries, I feel that I am placing a noose around my neck and hoping no one will pull the rope, since such insurance is for the buyer and there is no insurance to cover me. Furthermore the insurance company will be prompt to pay claims and then recover from me because they want equity in order to provide insurance.
This is medioeval feudalism and I refuse to participate.So I decided not to insure and sell with a clause that says, Sorry no building insurance avaialble, you buy as it is.
Have you done it?, what can be the problem?.
My solicitor says it can be done but is not too forthcoming with the risks associated with it.May God prosper you always.[biggrin]
MarcCheck this out Everything you need to know about… Selling a Domestic Owner Built Property
http://www.buildinginsurance.com.au/CAS2/cas2_vic.pdfI’d be seeking a 2nd opinion, whether from office of fair trading or another solicitor. The contract of sale is regulated by the OFT & you cannot contract out of some obligations.
Insurance is only required for a max of 6-7 years from commencement, not completion, so if the work is a few years old it is less onerous.
If the vendor is not forthcoming with insurances I’d be steering clear – it is all about risk management.
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