The Property will normally remain at the risk of the Vendor until settlement, however there have been circumstances we are personally aware of, where substantial damage was caused to a property by fire prior to settlement, and the Vendors insurance did not cover the damage.
It is advised to obtain House Insurance upon signing a Contract of Sale as at this time you have an equitable interest in the Property.
It is also likely that if you are obtaining finance from a lending institution, the lender will require you to produce a fully paid up Insurance Policy or Certificate of Currency for at least a six month period showing a minimum replacement value and the lenders name on the policy as mortgagee. It is usual for a lender to refuse to attend settlement until they have sighted such document.
For further information or specific questions answered, please do not hesitate to contact us.
Disclaimer: The information provided on the Right Choice Conveyancing web site is not intended to be legal advice. Many factors unknown to us may affect the applicability of any statement or comment that we make on the Right Choice Conveyancing web site to your particular circumstances.