Why Do Mortgage Lenders Conduct a Water and Drainage Search?

In a nutshell, without a water authority search, a mortgage lender cannot release the funds needed to complete the purchase of a property.

Mortgage lenders need to be as certain as they can be that there are no potential issues that could adversely affect a property’s value during the loan term.

They do this by relying on your solicitor to conduct several conveyancing searches, the most important of which are:

• Land registry search
• Local authority search
• Environmental search
• Water and drainage search

Depending on the property’s location, lenders often request several other searches be carried out, such as mining, flood risk, and transport/HS2 links. However, those listed above are considered mandatory, and without them, a lender can’t proceed with a mortgage application.

What is a water and drainage search?

A water authority search establishes exactly how the water supply comes into a property and how it goes out.

To be more precise, the search findings will provide answers to the following questions:

• Is the property connected to a mains water supply? If so, who is the supplier?
• Is the property connected to a public drainage system?
• Is the water supply measured (using a meter) or unmeasured (using a rate system)?
• Is the property located close to a water mains terminal or sewage works?
• If not connected to a mains water supply or public drainage system, where does the water supply come from and how is sewage disposed of?

This information may seem straightforward, but it is crucial, especially if you plan to conduct major renovations.

For example, if you’re planning to build an extension to a property and need to alter the existing drainage system you’ll need permission from the water company before you can proceed.

As far as a mortgage provider is concerned, if a water authority search establishes that a property is not connected to a main sewage network, has there been any historical surface flooding as a result of an inadequate drainage system in its place? If so, has this now been appropriately rectified?

If the lender isn’t satisfied with the results of this search or is concerned about any aspect of it, they may decide not to proceed with the mortgage application.

How much does a water and drainage search cost?

The cost of a water and drainage search can vary depending on the region and the provider conducting the search. On average, you might expect to pay around £50, but in some cases, the cost could be higher, especially in areas where more detailed searches are required or if additional factors need to be considered.

It’s advisable to check with your solicitor or the relevant authority to get an accurate estimate based on your specific situation.

How long does a water and drainage search take?

The time it takes to complete a water and drainage search can vary depending on the water company and the complexity of the property in question. Typically, these searches take between a few days to a week. However, the process could take longer in some instances, such as during peak times or if there are specific issues to investigate.

It’s a good idea to discuss expected timelines with your solicitor to ensure that all searches are completed within your required timeframe.

Types of water and drainage searches

There are two types of water authority searches available:

• CON29DW drainage and water search
• Regulated drainage and water search

Of the two, the CON29DW search is considered more comprehensive. It provides answers to 25 standard questions and is compiled by the water companies themselves using their own historical records. A regulated search provides much of the same information as a CON29DW but without any conclusions or input from the water company.

As a result, the CON29DW search is usually more expensive than a regulated search, typically costing between £50-£100, and is generally the most popular among solicitors and mortgage lenders.

If you’re buying a property, discussing the results of all conveyancing searches with your solicitor is crucial. This can help you avoid unexpected issues that might affect your mortgage eligibility or incur additional costs.