One Mortgage for Two Properties

Chew_Barker

I apologise if this has already been discussed, I tried the site search and found nothing.

Basically a block of 4 terraced cottages have come up for sale, the seller (one man owns all 4) has advertised them seperately, although he is happy to sell them in pairs or all 4.

My partner and I would be interested in 2 of them, as they have previsouly be adjoined and used as one property we have been assured by the council that they can be converted back to one property (so we have just one address and just one council tax payment).

So everything seems ok until we phoned up Britannia (who we had an agreement in priciple with for just one of these properties, oh and we are first time buyers by the way if that changes things) and they told us that they wont do one mortgage for the two properties.

Where do we go from here ? is it just a case of phoning round to find a lender that will ?
I imagine that builders and property developers must do this all the time, when buying similar dwellings that are too small on their own and can be converted into a house.

abc

Could you and your partner perhaps each buy one property each in your own name?

fudgecat

This may just be a problem with Britannia. Self Builder magazines list a variety of lenders who will consider renovations, restorations and new build mortages and stage payments. This would probably be your best bet?

Chew_Barker

fudgecat wrote: »

This may just be a problem with Britannia. Self Builder magazines list a variety of lenders who will consider renovations, restorations and new build mortages and stage payments. This would probably be your best bet?

Thanks I'll look into it.

happybroker

I assume you will be applying for planning consent prior to completion so that you don't end up with 2 cottages you can't do anything with?

If so (and even if you aren't) you could, as part of the purchase process, merge the titles to the properties so that they have one title number, this will help with the number of mortgage companies that will lend to you.

I think enlisting the help of a good whole of market broker could be of benefit to you with this.

All the best

Chew_Barker

happybroker wrote: »

If so (and even if you aren't) you could, as part of the purchase process, merge the titles to the properties so that they have one title number, this will help with the number of mortgage companies that will lend to you.

We will be apply for the consent first. How would I go about merging the titles to the properties ? Is this done by the seller or the council ?

Thanks for your advice.

happybroker

merging the titles would be done by your solicitor as part of the purchase procedure. He/ she has to obtain "good and marketable title" for your lender so will effectively turn what is currently 2 properties into 1 (on paper) and secure the mortgage against that "new" property.

you would liaise with the council with regard to what the address would be but that's no big deal.

Chew_Barker

happybroker wrote: »

merging the titles would be done by your solicitor as part of the purchase procedure. He/ she has to obtain "good and marketable title" for your lender so will effectively turn what is currently 2 properties into 1 (on paper) and secure the mortgage against that "new" property.

you would liaise with the council with regard to what the address would be but that's no big deal.

Thank you. You have been superbly helpful.