Can't sell our house as mortgage survey is rejected ......

alfaman28

Can anyone help ??
We have a buyer (the 2nd one after the first couldn't meet the financials for a mortgage) and they have now applied twice for a mortgage but the same valuer came for both lenders and he has said that our construction type is not suitable for mortgage lending.
Our house is a self build from 2007 using Structural Insulated Panels with a brick slip cladding system on the outside face.
We have a 10 year structural warranty and the brick slip system has a 20 year warranty. Both products have BBA approval and the suppliers don't understand why there is a problem.
We got a mortgage for the selfbuild and have since remortgaged twice so why are our buyers having such an issue ???:(

Buzby

Because there's a DIY element that provides no recourse should there be any issues with the construction or fabric. Since there is no warranty on construction, they would find getting a valid security difficult (and is not an issue where the person building it gets a mortgage - because the cost is lower). Because you will profit from the sale, as the builder and vendor, many firms will not want to take the risk unless you can provide a bond that stands surety should a defect come to light down the line.

I had a friend that rebuilt an old farmhouse and had exactly the same problem.

alfaman28

We do have a warranty on construction as all new builds do and this is underwritten by Lloyds. The mortgage companies say the future value is affected but as most people haven't a clue what their house is made of this is rubbish. Most self builds are built to a higher standard and with more care than your average mainstream developer.

alfaman28

Can anyone offer any wisdom on this problem ??