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Sky News reported in June that almost 34,000 council houses alone are laying empty. In October 2022, 676,304 empty homes in England were officially recorded - 3.6% more than the previous year; and 248,149 had been vacant for more than six months. Those figures were published by the government in November 2023.
A large proportion of these vacant homes are probate properties, laying empty for many months before the personal representatives can sell the property.
Delays to probate sales
Anecdotally, the delays in obtaining a grant of representation are much longer than the 16 weeks that the government has indicated it should take.
The Quilter Group submitted a Freedom of Information request from the MoJ this spring which revealed a 65% rise over the past three years in cases taking more than a year for a grant to be issued. The number of cases taking just under two years had also risen by 65 per cent, and almost double (94%) the number of cases were taking more than nine months.
Even once the grant is received, the delays in a probate sale may continue: the housing market has been relatively slow (though the recent cut in interested rates – the first in four years - kickstarted the property market); and once a buyer is found, completion may take weeks or months.
As these delays continue, the risks posed to empty probate properties increase the longer they are empty. Executors and trustees of these properties are required to make sure they are adequately protected against the known risks – exposure to the elements, flooding, electrical faults, criminal burglary and arson, fires and vermin and so on.
Unoccupied property insurance
Probate practitioners are reminded of Watchman – designed specifically to cover the risk of unoccupied residential properties (it is also available where the property owner has had to go into residential care).
Cover is easy for executors to arrange and highly cost-effective. And unlike other policies, Watchman’s policy usually covers risks including malicious damage and subsidence. The property will need to be checked every 30 days, a much less onerous requirement than other policies that expect a check every 7 days.
Many other unoccupied residential property insurance policies also demand payment of an upfront premium, which can exacerbate any cashflow issues. There is no such requirement with the Watchman policy – only a small initial deposit is required for cover to be in place.
Cover is calculated at a fixed daily rate; and the full insurance premium is then paid on completion of the sale or (if earlier) within 12 months. Also, there are no hidden charges or cancellation fees.
With insurance in place, the executors and trustees continue to have a duty check for and identify any potential risks that may arise. That could be arranging for regular practical checks of the property, disconnecting water and gas, removing valuables from external view and sealing letter boxes and cat flaps. These are important practical steps should not be forgotten
For more information and a quote, contact us here Watchman Insurance cover can be arranged on the same day by telephone from a friendly and knowledgeable team.
