Mortgage on house with no kitchen, toilet or boiler

holly_hobby

How you need to think about this, is that the valuer will be assessing the property as suitable security for the lender.

In doing so, what he is really assessing is, if you default on the mge, if the dwelling is in a fit state for immediate resale - if it isn't because there are works needed to just bring it up to meet basic living requirements/standards, this will obv reduce the potential re-sale market to cash buyers ie builders etc, and therefore reduce their re-sale audience and realisticly achieveable price.

Thats why properties such as this (obv a repo) are typically purchased by builders/developers (who have the cash to fund the pch and reqd repairs), or they go to auction .. again cash buyers if not in a mortgageable condition - which is why they are cheap(er) to pch.

A self build mge isn't solely for building your own home, as I explained lenders in this market are much more au fait with staged lending - the fact remains though the upgrading (even on a self build or renovation mge), will in the first place have to funded by yourself, with later drawdown on re-inspection.

If bldstore accelerator mge (as mentioned above) isn't available or suitable (there is an app fee upto £1200 I believe), and you don't have the funds to complete the works (or can't find a very friendly builder whom will do the work for delayed payment .... which is unlikely) - then I guess this is a no- goer from the off.

Hope this helps

Holly