No mortgages for houses on main roads

Orpheo

Mortgage? House on a busy road or next to a restaurant? Forget it!

http://www.guardian.co.uk/money/2010/aug/01/abbey-mortgage-application-lending-criteria

Looks like some lenders are trying to find any excuse to say no. Looks like lending is going to be strict for some time.

Blacklight

When questioned, Abbey said it had declined the application "based on the findings of an independent valuation of the property conducted by a third-party firm, rather than any specific change in lending criteria".

They had a mortgage survey done and property wasn't worth as much as they wanted to borrow.

How many mortgage surveys are any more detailed than providing figures.

Orpheo

"It is not possible to recommend the property as a suitable security for a mortgage because it does not meet the Lenders mortgage criteria due to being located on a very busy road, adjacent to a Chinese restaurant and very close to a large public house.

Abbey refused !!!!!! and Schade a mortgage based on the surveyor's appraisal, even though none of the circumstances mentioned in the surveyor's report had changed since the last time Abbey granted them a loan."

:eek:

Abbey said: "If the valuer deems that one or more factors about the property at the present time (and obviously factors may have changed over time) could adversely affect a property's marketability and value in the future (for example, the combination of factors cited in this case), as a responsible lender we may choose to decline an application on the basis of these findings."

Bad news if your house is on a main road or near a restaurant or pub then.

carolt

Tragic. ........

tomterm8

I thought that mortgage lenders were supposed to use quotation credit searches, rather than full credit searches, so that bargain shoppers aren’t adversely affected.

Either way, property prices do change over time, and companies change their risk tolerance and loan criteria, so it’s something of a nonstory.