Nearly a third of all house sales fell through in 2012 according to House Buyer Bureau through either financial difficulties, ‘gazumping’ or simply someone in the chain getting ‘cold feet’.
For a one-off fee of £79.50, clients get £1,500 cover for a range of upfront expenses including conveyancing, survey, and lenders fees, as well as any charges made by the broker themselves.
Alex McLauchlan, Head of Marketing for Source Insurance, said: “It came as a surprise to us that quite such a large proportion of home purchases fall through. Our new Home Buyers Protection product covers the most common reasons for a property chain breaking down, giving clients four months peace of mind for just £79.50. It’s a great little product and it’s getting a lot of interest from mortgage brokers who are already in the habit of cross-selling home insurance.”
The Source protection deal covers clients’ upfront expenses if:
• The property is withdrawn from sale by the seller
• The client is ‘gazumped’ by a margin of £1,000 or more
• The client has to withdraw due to unforeseen illness or personal reasons
• The lender requires remedial works of more than 10% of the offer accepted
• The surveyors valuation is less than 90% of the sum the agreed price
The Source offers guaranteed quotes on Buildings and Contents, Buy-to-Let, and ASU/MPPI from a panel including AXA, Zurich, Aviva, Sentinel, RSA, Groupama, Cardif Pinnacle and Towergate.