View more on these topics

Lenders ‘doubt effectiveness’ of home inspectors

Lenders may require borrowers to get separate valuations from those produced by the Government’s new home inspectors, according to the Mortgage Advice Bureau.

Home inspectors will be established as part of plans to introduce seller’s packs for all homes put on the market. They will assess the condition of homes and produce a home condition report as part of the pack.

But lending manager Brian Murphy says there are concerns with the ability of home inspectors to do their jobs effectively and lenders may recommend a second valuation, with the cost falling on sellers.

He says home inspectors will need a lot of training. Lenders are also concerned whether inspectors will obtain suitable indemnity insurance.

The Council of Mortgage Lenders has voiced concerns that there is already a shortage of this type of insurance in the market and it will be difficult for a new profession providing a new product with no claims history to obtain cover.

The Office of the Deputy Prime Minister says the certification scheme for home inspectors will be approved by this autumn in readiness to issue licences in 2006.

Recommended

Julian Gibbs

Some forecasters believe that UK commercial property will be the top performing sector in 2005, despite others anticipating that there may be a bubble in this asset class.

Multi-manager view

Around 3.4 million people are caught by the 40 per cent income tax rate and a large number of these are retired.

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment