Why you must have building insurance.

After you’ve been through the process of getting a mortgage, you probably think it’s time to move in. You have a date to exchange the keys, the symbolic handing over of the keys from the seller to you, usually via an estate agent. However, there is just one more hurdle to overcome. Luckily, it’s a very simple one to do. You will need to have evidence of having building insurance on the property before the bank will release the funds. At least you’ll know that a quick call to an Insurance Brokers Bath based firm like https://www.markrichard.co.uk/areas-we-cover/insurance-brokers-bath will mean that you’ll get the best cover as soon as possible and can move in. You may be wondering why the bank is so insistent on getting you to have it.

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The simple reason is that as soon as the property becomes yours, you are responsible for it. It is no longer the responsibility of the builder or seller. So, if anything wrong happens to the property, you will need to be insured on it. For example, fire, a tree falling into it, someone driving a truck through the front door (it might be on a building site if it’s a new build), who knows what might happen. The experience of the insurance teams and banks shows that anything can and will.

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Don’t forget; the bank has lent you the money as an investment. If anything were to happen and they needed to sell the property (not saying that this will happen), the bank would want the property to be whole and undamaged.