Can I get a mortgage on a 7th floor flat

sherer

Hi

I viewed a flat with my friend who is looking to buy it. The flat is on the 7th floor and the estate agent told us you can't get a mortgage on a flat above the 5th floor. I'm not sure this is correct as there are plenty of high rise blocks in London that are being built at the moment.

Can anyone confirm if this is going to be a problem ?

Thanks

Ian_Griffiths_Halifax

It's true that it is difficult to get a mortgage on a flat above 4th floor (4th floor being Ground, 1st, 2nd, 3rd, 4th, as opposed to the Americans who have no ground floor and so this is the 1st) if that makes any sense.

Having said that, it may depend on the lender and the development. I'd have thought that it would be difficult just now when lenders are reluctant to lend on flats anyway.

I've never done one my self but somebody might come on who can give you the name of a lender.

abc

I saw a property on rightmove recently that was a high rise flat. It said due to the nature of the construction it would require a cash purchaser or mortgage through HSBC.

This suggests it might be worthwhile checking to see if HSBC can do a mortgage on the property you are looking at.

Dan_1976

If you have a big enough deposit you will get the mortgage as long as the block in not mainly council owned or a ghetto.

Qual123

Halifax or RBS, Both will lend above 5 floors. So will A&L but their rates are crap!

sherer

thanks for the info. it's an ex council flat, not in the best area either so think that could affect things too and it is concrete too so that seems twice as bad.

i would have thought concrete would be less of a fire risk and so better but seems I was wrong there.

UK007BullDog

It depends on the property and its location.

I suggest to call up the local surveyor and ask them if they were asked to survey flats like that in that postcode.

Due to the credit crunch a lot of lenders that used to lend on high rises no longer do so or have themselves disappeared from the marketplace.

If the flat is ex-local authority then probably no chance.

Trollfever

Interesting comments.

How do folks manage to get mortgages on flats in the new build city centre skyscrapers?

UK007BullDog

As it is concrete and its ex-local authority you have no chance what so ever. The lenders that used to do those (a few) have gone out of business and pulled back into the USA.

As for Trollfevers question:
If it is a purpose built new highrise in a new up and coming area then the lenders will take those on.

The concrete used in the olden days has many problems one of them called concrete cancer and the lenders will not touch those, flats or houses, hence cash buyers only. Just a few concrete houses are mortgageable in certain areas in the UK.

Do a google on Concrete cancer and uk mortgage.....

sherer

you've got me worried about mine now. I'm looking into selling my 2nd floor flat later this year and that is ex local authority.

Mind friend has the money to buy this flat as a cash but but is worried about whether it can be sold on in a few years time.

Thanks for all the info I will pass this onto her and am doing a google at the moment, i'm not sure if mine or this flat is PRC concrete though, what is a good way to check ?

UK007BullDog

You only need to be concerned if it is concrete!
You only need to be concerned if over the 5th floor if ex-local authority, a rough area and if there are hidden concrete elements in the building.

Even as a cash buyer I would not touch concrete as you might be stuck with it for life. How often will someone find a cash buyer? If it cannot be mortgaged then hands off unless you are a hardcore investor. But if it starts to crumble you have lost all of your money. maintenance fees will be high....