With two million households currently living in flood risk areas and 500,000 homes in the proximity of toxic waste (according to homecheck.co.uk), advisers have a responsibility to ensure their clients are aware of the likelihood of flooding, contamination and subsidence of their property. If these facts are not bought to light when an intermediary is advising clients on their purchase, they might find that it is difficult or impossible to sell their home in several years time.
In addition, clients could find it very difficult to insure their property without a detailed environmental report. If their property is prone to flooding, they may find they are unable to insure it, or they will have substantial excess payable in place of any disaster.
As environmental reports cost as little as £40, advisers should also encourage their clients who are selling properties to include one within the Home Information Pack (HIP). In a country that has just experienced severe flooding and is witnessing an increasingly competitive property market, the inclusion of this information could be the final vital piece of information that clinches the sale.
Environmental reports contain information on the following potential problems:
- Mining and ground stability
- Planning
- Utilities
- Flooding
- Contamination
“In addition, in this increasingly competitive market where many purchasers are concerned about the environmental integrity of a property, sellers should seriously consider including this report within their HIPS. A positive report that puts any doubts to rest can mean the difference between a sale or no-sale.”
