Legal Property Experts

in association with Penman Sedgwick LLP

How Spray Foam Insulation Affects Residential Conveyancing

When it comes to energy efficiency, spray foam insulation is often praised for its ability to boost a home’s energy efficiency due to its unique ability to seal gaps and crevices which makes a home more energy efficient. However, for those who are looking to buy or sell a property, spray foam insulation can bring its very own unique challenges during the conveyancing process.

Spray foam insulation is a chemical-based material, which expands upon application. This creates an airtight seal over the area it covers, such as lofts, walls, cracks and gaps. Issues can arise from spray foam insulation if it has not been installed correctly or if it hides away potential issues such as damp, rot or structural defects. When buying a property with the aid of a mortgage the lender’s surveyor will inspect the property to ensure that the property is good security against their lending. Upon inspection, if the surveyor notices that the property has spray foam insulation in the loft/roof, they may refuse to lend against the property if it lacks certification or appears to be poorly installed. Some lenders may even refuse to lend outright regardless of certification because of the potential risk of damp, rot or structural defects.

As a buyer who has spent monies on valuation, legal and surveyor fees, the last thing one would want is delays and in the worst-case scenario, the transaction to fall through entirely due to spray foam insulation.

To avoid such disappointment, homeowners/sellers who have already installed spray foam insulation should ensure they obtain the appropriate certification verifying the quality of the work and its compliance with building regulations. Failing this, the spray foam insulation may need to be removed by a certified professional to proceed with the prospective buyer’s lender requirements.

For buyers, it is essential to obtain the building regulations certificate from the sellers. In the absence of the same, they should seek specialist advice to verify the adequacy of the work and ensure compliance with building regulations. Additionally, buyers should consult with their lender to confirm whether they will be happy to lend on a property with spray foam insulation and even raise it when viewing properties, which will help save time and money for all parties involved.

If you are a cash buyer but may consider remortgaging in the future, please be aware that spray foam insulation could limit your lending options.

If you need legal advice, we can help.