Leasehold Flat Insurance

[Graham-W]

We are thinking about buying a leasehold flat and under the terms of the lease the leaseholder is responsible for insuring the structure of the whole block of six flats.
I have, so far, been unable to find out who the leaseholder is. Would it be OK and, indeed, legal for me to insure the flat myself for my own piece of mind?
Can you legally have two insurances on one property?

Also posted in Insurance.

[boxtops]

No you can't, it complicates the matter considerably if there is a claim, and you have no insurable interest in the fabric of the other five flats. The sellers should be able to tell you who the leaseholder is - this will come up anyway in the searches which your solicitor makes before you put in an offer. Could you not contact one of the other five leaseholders? - they are likely to know, they will have to be paying their ground rent and portion of management charges to someone, even if it's a management agency rather than direct to the leaseholder - and that should give you a lead. When I bought a leasehold flat, the sale documents gave full details of the owner, amount of ground rent payable p.a., proportion for buildings insurance and maintenance of common areas - etc.

[Graham-W]

Problem is, it's coming up for auction as a repossession. The Legal Pack indicates that Barratts Homes were the leaseholders when the flat was built.
I have been in touch with Barratts by botth e-mail and by 'phone and they have been no help at all.
Guess I'll have to leave it to my solicitors to sort it out.
Thanks anyway.

[Graham-W]

Thanks again Boxtops. I've just found this http://www.lease-advi...s/document.asp?item=7 and this puts my mind at rest re. insurance of the fabric of the building.

[boxtops]

That's a useful like, graham - worth keeping!

[bushbaby_de]

If its a leasehold flat you are the leaseholder and the overall owner is the freeholder. The lease (which presumably you have seen a copy of since you refer to it in your question) will tell you who the other party is. If you haven't got access to this then do a freehold title search on the land registry website.

[Graham-W]

Yes Bushbaby. I was getting my terminology wrong. I've never done this sort of thing before.
I have actually done exactly what you said and ordered a freehold title search today. I expect to have an answer tomorrow.
Thanks.

[bushbaby_de]

What you'll probably find is that they will send you the Building Insurance details, along with audited accounts etc as part of the 'searches' your solicitor does for you as part of the purchase - eg they won't send you anything for free. You will then need to forward this insurance on to your mortgage company to prove you are not required to take out your buildings insurance (and indeed cannot take out your own as you do not have an insurable interest in the structure as a whole)

[themas]

If I were you I would not commit myself to buying without knowing who the freeholder is & getting confirmation that insurance is in place. I realise this is more difficult than usual because if you buy at auction you are committing yourself when your bid is successful, but you do need to make sure you have these points settled to your staisfaction before the auction. In my view, the legal pack you have been given is not fit for purpose if it doesn't cover them.