What is a Prefab Home (PRC House)?
Timms Conveyancer, Shelly Pill, discusses ‘What is a Prefab Home (PRC House)?’ and the implications that may occur…
PRC Certificate and the implications
PRC – Pre-cast Reinforced Concrete – Non Standard Construction Property, also known as Prefab homes or prefabricated.
After the war there was a need to increase the number of new houses quickly and at the time there was a shortage of standard building materials. Therefore, the homes were made with non-traditional construction to keep up with the increasing need. There are many different types of PRC constructed houses including Airey, Cornish, Hawksley, Reema, Unity and Wakes.
In the 1980’s there was widespread issues affecting the durability and structural stability of some of these types of homes and many concrete housing systems were made “defective” under the 1985 Housing Act. This can make process of buying one difficult as most mortgage lenders are reluctant to lend on them since the 1980s.
It meant that mortgage lenders would not approve mortgages for PRC homes unless remediation works were carried out under an approved repair scheme and a PRC certificate was obtained. This involved removing or rendering redundant any concrete structural components and replacing them with traditional brick walls. If works have been carried out but there is no PRC Certificate, it is possible to apply to obtain a retrospective PRC certificate and some lenders will accept these however, each mortgage lender will have a different opinion on whether they lend on PRC properties, their concerns will be the structural integrity of the building and risk of future issues.
A PRC Certificate is the formal paperwork confirming the repair system has been carried out successfully. If this paperwork is lost in the future, you may be required to organise an intrusive inspection of the property by a PRC Structural Engineer so they can establish what works have been carried out and to which standards, if the works do not meet the required standard then additional work must be arranged. Some concrete framed house types have a brick outer shell and may not be evident without a specialist inspection.
Not all Lenders accept a PRC Certificates and you would need to report this to your Lender for their approval. Some Mortgage Lenders may also implement additional terms i.e. having a higher deposit.
We would advise that you ensure a full investigation has been conducted before buying a PRC house. Ensure you instruct an in-depth RICS Home Survey Level 3 to give you the professional advice and required knowledge and understanding of the construction and structural safety of the property you are interested in. They should also be able to give professional advice on the possible repair works needed and costs associated with the same.
How Can Timms Help?
If you are considering purchasing a property and would like a conveyancing quote, please contact the conveyancing team on freephone 0800 011 6666 or use our free online calculator here.
August 2024