Should you buy or sell housing? You should know this about home sales.
Dag Are Børresen is a lawyer in Help insurance. He states that 1 in 4 complaints about the housing purchase (based on 15. 000 things). The reasons that buyers contact the insurance company for lawyer assistance are many, but according to Børresen, moisture damage is the most common reason.
– Frequently, newer bathrooms are utter. This may be due to several things; Poor craftsmanship (speed work and lack of professional knowledge) from “professionals” is one reason, but we also see that self-effort is behind many structural errors. There is also a tendency for sellers, often unconsciously, I think do not tell everything they should, at the sale.
In other words, I do not blame merchants for being dishonest, but we see fewer complaints that sellers have used experienced brokers, says Børresen.
Bad and Gangster
After bathing, drainage, roof leaks and faults occur in electrical installations.
According to the insurance broker Norwegian Broker AS, bathroom is the one we complain most about in connection with housing purchases. So, drainage / moisture follows in basements, roofs and power plants.
Perhaps surprising to some, “area deviation” is the specified category with least complaints.
Why Owner Change Insurance
As a seller of housing, regardless of housing type, you are responsible for five years for hidden defects and defects in the dwelling you sell. An owner-change insurance will protect you from the demands of the buyer of your property. Although the property is sold “as is”, it may appear incorrect and missing you were not aware.
If you have signed an owner-change insurance, it is the insurance company that processes all requirements you may have from the buyer.
– As a buyer, you must take responsibility for errors and omissions that may be expected in relation to the condition of the accommodation. By signing owner-change insurance, the seller transfers this responsibility to the insurance, says a lawyer at Kraft Advokatfirma AS, Carl Bjurstrøm.
In cooperation with Housing Attorney. no, he says that even in cases where the seller has withheld or provided incorrect information in connection with the sale, the change of ownership will normally be responsible.
According to the brokerage agency Norwegian Broker AS, an owner-change insurance will cover a price reduction, replacement and cancellation of the purchase until the housing sales price is limited to 5. 000. 000 kroner. Claims below 5,000 kroner are not covered.
May benefit from buying
Norwegian Broker AS informs that ownership change insurance can also be a security for you as a buyer if the accommodation proves to be inadequate. When such insurance is taken, both parties can be safe because the insurance company guarantees the payment of settlement, in cases where the buyer has a legal claim.
Bjurstrøm says that statistics from Finansklagenemda (FinKN) show that 4 out of 5 wins if the owner-change insurance has first refused a claim.
– As a home buyer, you therefore have good rights, he says.
house purchases insurance
It is now also offered insurance to buyers of housing, called home buyer insurance. The insurance shall be a consideration for the seller’s owner-change insurance.
Help Insurance was the first to offer home buyer insurance at the turn of the year 2005/2006 and is the only player in the Norwegian market today. The insurance is signed by housing purchases via several broker chains.
Børresen in Help insurance believes that seller’s owner-change insurance does not give buyer enough security.
As the seller has specialized lawyer assistance through the owner-switch insurance, buyers must also have access to specialists in housing purchases, through home buyer insurance or others, he believes.
According to Help Insurance, more than every fourth home buyer now carries out home buyer insurance. Housing buyer insurance costs from NOK 3500-7900, depending on housing type.
Børresen says that the insurance covers legal assistance and necessary costs for expert assessment of the extent of the housing damage.
Does not require home buyer insurance
Thomas Bartholdsen is the Department of Trade in Consumer Affairs. He encourages each individual to get into the terms.
– It is the individual who has to assess the risk he / she runs and how much they will pay to avoid carrying that risk himself.
– And you should generally take care not to be over-insured.
– Often your regular home insurance will also cover a part of the same as a home buyer insurance, “says Bartholdsen..
At Help, they think that is not enough.
– Legal aid coverage in home insurance has clear restrictions in relation to home buyer insurance, including a ceiling of 80 -100. 000 kr, in addition to having to find a lawyer himself, says Børresen at Help. – Identified costs are also not covered.
Can simplify the process
Finn Linde Eriksen is the head of the property department in Codex Advokat Oslo AS and the web portal Estate Attorneys. no
He points out the importance of home buyers being informed about what opportunities they have to cover their attorney expenses. It may be far between having the right and getting it right.
Unfortunately, home buyers often notice mistakes or other negative conditions after taking over their new home. This can be wrong and missing which is costly to repair.
– When the seller is usually represented by a professional owner-ship insurance company and that the actual and legal assessments in such cases can be difficult, this may lead to a long-term price reduction / replacement amount from the seller, “says Linde Eriksen..
Avoid insurance failure
Linde Eriksen further states that if a home buyer comes in a situation where the home buyer insurer decides to terminate the case while the buyer wishes to continue this, it is natural for the buyer to contact an external lawyer.
– Usually, the buyer can apply to receive approximately 80 percent of attorneys expenses under their general villa or home insurance, called legal aid cover.
The problem that may arise is that several of the big insurance companies have decided that they do not grant such legal aid coverage if the home buyer has previously signed a home buyer insurance. Here the buyer can sit in saksa, he says.
Linde Eriksen emphasizes that the home buyer may then have to cover the attorney expenses alone or spend a lot of time and resources on obtaining legal aid coverage.
This is because the person in the home purchase made an insurance that subsequently appears to have ripple effects, which was not adequately enlightened.
Advocate Børresen emphasizes that if the buyer disagrees with Help’s decision to terminate the case, he has a right to appeal to an external appeal board by lawyers and taxpayers who will review the case again.
– We always want to ensure that we do not pull premature conclusions into one thing, he tells Bonytt. no.
Just as important as knowing what to do if you are going to complain is to check the property before you buy.
Check the property before you buy
SINTEF Building Research has developed the Housing Buyer’s Book. Here you can find checkpoints, for example, where homes may have weaknesses. In the book, the Consumer Council also provides tips on the purchase itself, such as reservations, takeover and complaint.
According to SINTEF Byggforsk, Boligkjøperboka is the first thorough housing buyer guide to advise on both building quality and housing benefits, and is also relevant to those who sell homes with important background materials.
Get it Written
Børresen emphasizes that it is important to study the sales documents carefully, as well as ask the seller, broker and taxpayer on what you do not understand. Furthermore, he has the following tips for you to buy a home:
- If something is said on a view that is not in the prospect, ask to confirm this by email before submitting bids. Then misunderstandings can be avoided.
- If something has been renovated, it should be informed who has done the job, what has been done and when it was done.
- Everything that has been clarified in writing before submitting bids can save you negative surprises afterwards.
- Remember to request a declaration of conformity on an electrical installation. This must be available on electrical components installed after 01. 01. 1999, and documents that the plant is installed by professionals according to the regulations.
How to advertise your purchase
– Advertising means sending letters with a complaint to the seller and saying that there is a shortage of the accommodation. You can also advertise to the broker, taxpayer and owner-change insurance, lawyer Bjurstrøm in Kraft Advokatfirma AS.
He says there are four main types of complaint:
- The first is a neutral complaint. It is as the wording says; neutral. You advertise for lack of housing, without mentioning specifically what you complain about.
- Number two is a complaint asking you to correct a defect. Here you advertise and ask the seller to correct what is wrong or missing.
- The third type is complaint and demand for price reductions. Here it is often advisable to demand a price reduction similar to what it would cost to correct the mistake or lack.
- The fourth type is complaint and claim for compensation. Here you require compensation for financial loss as a result of the shortage or the error of the residence. The starting point here is that you may require that the seller covers your whole wallpaper. For example, if you have remedied yourself, you may require that the seller covers the entire bill.
You must advertise within two months after you discovered the defect, but shortcomings discovered within five years from the purchase may be the basis for complaint.
– The rule of thumb is to advertise immediately and no later than two months, Bjurstrøm.
You can find complaint templates on the internet.
Checklist on View
Karsten Onsrud is Sales Director in Krogsveen. He points out that it is important to check the property thoroughly, and everywhere there can be or get water, such as bathroom, utility room, kitchen benches, basement and loft.
Read the papers carefully and ask broker about everything you do not understand. Please see our checklist for viewing, says Onsrud.
Sources: Viivilla. no, help. No, Property Attorneys. no
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