Client Care Letter: Homescreen
Introduction
There are many risks that can affect your property which should be investigated fully ahead of exchange of contracts.
It is the policy of our firm to ensure that we provide detailed due diligence to protect the interests of both you and your lender on your proposed property purchase. Homescreen ensures we comply with Law Society guidance on contaminated land, flood risk and radon.
As part of our range of searches we will order a Groundsure Homescreen to identify whether there are any specific risks relating to the issues of contaminated land, flooding, ground stability, and radon, as well as planning constraints such as Conservation Areas and National Parks. The report will also provide a screening for planning applications, proposed rail infrastructure such as HS2 and both Crossrail projects (1 & 2), large scale energy infrastructure such as fracking sites and wind farms, active rail lines and subways. The report provides detailed information and a professional opinion.
Contaminated Land
Our industrial heritage and the drive to build on brownfield (previously used) land has meant that increasing numbers of properties have been built on land that could be contaminated. This could affect the value of the property, could lead to adverse health issues and under current legislation you could be responsible for paying for the clean-up of that land.
Note: If the contaminated land results identify a potential risk, this does not indicate the purchase should not proceed. Further enquiries can be undertaken of the sellers and other parties to either amend the result, provide further information to make an informed decision or, if appropriate, consider obtaining environmental insurance. Specific recommendations can be found within the Groundsure report.
Flooding
Flooding can occur from a variety of sources including surface water, and you don’t have to live near a watercourse to be affected. In England and Wales 5.9 million properties are at risk of flooding, with the average cost of flood damage being £28,000. Home insurance in flood prone areas may be more difficult to obtain, however the introduction of Flood Re means affordable insurance should be obtainable through a registered insurer. A flood search will highlight the risks from river, coastal, surface water and groundwater flooding as well as any flood defences and historic flood events, and should give you an indication of whether insurance will be available and affordable.
Radon
Radon is a colourless, odourless gas which has the potential to cause adverse health issues to those occupying the property. It is the second biggest cause of lung cancer in the UK after smoking.
Standard CON29 Local Authority searches will cover the risk of radon gas, however due to the resolution of the data used it cannot be fully relied upon to assess the risk at a property- specific level. The data used by Groundsure is far more detailed radon information than the information used in the Local Authority search which highlights the radon potential at the specific property and if any protection measures are required.
Ground Stability
Ground instability can seriously impact the structural integrity of a property, in addition to the value and insurability. The report will highlight any natural and mad-made subsidence risks to property.
Planning constraints
Areas of environmental, cultural and visual sensitivity, such as Conservation Areas, Listed Buildings and National Parks are a great addition to an area, but they could also impede or restrict certain developments.
Next steps
Where a potential risk is identified or next steps are provided we recommend including those in your report on title.