You’ve saved a deposit, been approved a mortgage in principal, and now, finally, you have found your perfect home. You make the offer and things are going swimmingly – until you hear the dreaded words off the surveyor or lender, your perfect home is unmortgageable.
But what makes a house unmortgageable? Here are a few reasons to be aware of when carrying out your house search.
No kitchen or bathroom
If a house has no kitchen and/or bathroom lenders consider this an unhabitual property and therefore will not lend on it. However, if you have the money to spend and can put together an agreed upon speedy works schedule you may gain approval.
Even if the home has a kitchen and bathroom, if either are in bad condition and considered sub-standard, be aware the property may still be considered unmortgageable.
A commercial property is your next-door neighbour
Whether it’s a clothes shop or a florist, a commercial property being below or next-door to your potential property may not sit well with potential lenders. This is because there is a risk it could be turned into an undesirable commercial outlet in the future, such as a take-away or betting shop, and in turn make it more difficult to sell the house.
Not your average brick and mortar house
If unusual or non-standard construction materials are used to build the house it could be a red flag to some lenders. Lenders like to stick to what they know is a safe investment, therefore the less usual materials such as glass or metal frames – even thatched roofs – can set off alarm bells. If your dream home is unconventional, you may need to shop around for a willing lender.
Japanese Knotweed and Himalayan Balsam are just two types of plants that are considered high risk by lenders. This is because they are costly and difficult to eradicate, the plants are so strong they can push their way through concrete and destroy your home! Make sure to perform a thorough internal and external viewing of the potential property.
If you want to secure a mortgage on a dream home but you are having trouble, contact one of our expert advisers today. We are used to dealing with tricky situations and would love the opportunity to help you solve your issue. Call us on 01639 262222 or click here to send us an email.
*Your home may be repossessed if you do not keep up repayments on your mortgage.