Help please - need a different mortgage provider because of situation

ey143

In one of my other threads which nobody has unfortunately replied to yet, I mentioned that I am purchasing a property which unfortunately has 3 self contained units in it. It is essentially a 7 bed detached but the current owners have split part of the house to make a granny annex for elderly relatives.

The single dwelling has a total of 3 kitchens and also its own separate door.

Is there a mortgage provider who can offer me a conventional mortgage for this type of property? I intend to remove the additional units and have the council tax rebanded so that it has only the one banding. I want to avoid a buy to let because of the higer fees.

Anyone have any personal experience of dealing with such a situation?

Thanks.

Out,_Vile_Jelly

Sounds like you need to do some phoning round of brokers until you're recommended one that finds deals for more unusual properties.

casperlarue

I would think in this situation you are going to need a specialist mortgage provider, the main stream ones won't be interested as it's not a bog standard house or flat.

Have you spoken with an IFA to find out what your options are for this property? Also, as an aside..... what is the "official" status of this property, I mean does it have planning permission to be split into flats plus the annex? If so then you will have to apply for planning to change the whole lot back to a single dewlling.

ey143

I did speak to the council and there are no restrictions as such on the property. So it would be relatively easy to convert back into one council tax band once I can prove that aspects of the "flat or self contained units" have been removed.

The official status is that it is one dwelling with a granny annex.

ey143

By the way, can I make it a condition of any fee to a broker that this is paid only if the mortgage provider agrees a mortgage, otherwise I'm throwing money down the drain just trying mortgage providers on the advice of a broker?

lincroft1710

ey143 wrote: »

By the way, can I make it a condition of any fee to a broker that this is paid only if the mortgage provider agrees a mortgage, otherwise I'm throwing money down the drain just trying mortgage providers on the advice of a broker?

You can attach any conditions you want, whether the broker will agree is up to them.

ACG

Mortgage Brokers should only be charging their fee on offer anyway (in my opinion) - why pay for something if you dont get it. You wouldnt pay a plumber if he couldnt fix a leak even if he had a go at trying to fix it.

That aside...
You wont get a residential mortgage on this as it stands - dont wast your time trying - my main business is adverse and complex mortgages, so i know this market pretty well. You have 2 options, either a buy to let with no early repayment charges and then once the renovation work has been done switch to a residential, or a bridging loan, typically quicker and easier to arrange and you can then swtich to a residential again, once the work is done.

You could also go down the development finance route, but this will just limit the lenders right down so its unlikely it will be the cheapest option.

You probably will need a broker for this otherwise you could find yourself spending hours on the phone to lenders and not getting very far.

ey143

ACG,
Please private msg me with your contact details and a convenient time to talk this evening or tomorrow.

Thanks.

wannahouse

why couldn't you get a mortgage through someone like buildstore,as they even give mortgages to convert agricultural buildings, etc into homes???

ey143

I'm not too familiar with the non residential mortgage market and the providers. Will take a look at it, thanks.

At the moment I have an offer for an offset with First Direct at 3.19% + base, so 3.69% is pretty good. I would want to pay much more than that longer term, though that said I think with most spare cash going into developing the palce I think a low repayment might be better with a lower rate.