House needs work - can mortgage help?

Legacy_user

Hi,
We had an offer accepted on a house for £135K - it was originally up for £149,950. We knew it needed complete redecoration, and the chimney needed work (but we weren't too worried about that as we wanted to line it anyway for a wood burner and figured we could do it all at the same time.)
So survey came back - and it needs more work than expected -

• furniture beetle
• ventilation issues in the roof
• flashing of the other chimney
• damp on ground floor
• Polystyrine tiled, fibre board ceilings throughout which need replacing
• wiring may need replacing
• ventilation issues elsewhere
  Needs new boiler too (although we suspected this)

The surveyor has valued it at £130K. We are going to now get a load of quotes in - and hopefully use this as a tool to renegotiate the price.
My question is this - if we do succeed at renegotiating (say down to £130K) could we still get the mortgage at £135000 so we could use the extra £5K to do all the repairs before we even move in? We also have approx a further £5K to add to that - so would hope we could get the worst of it all done early on - and just suffer with a non-existing kitchen and a 70's bathroom until a it down the line when we could afford to sort out.
We are getting a mortgage with Nationwide, 90%.
Thanks H

System

Nationwide has not yet valued it - this was an independant report which we got for our own info. Thanks h

GMS

Lending will be based on the lower of the purchase price or valuation. If it values at 130k then this is the figure used to work out the loan

kingstreet

You can borrow 90% of the purchase price or value, whichever is the lower of the two.

The only way you'll be able to borrow more is to go for a 95% product, which will see you able to borrow 95% of the purchase price, or value, whichever is the lower.

Does the report you have suggest a lender would hold a retention, treating any of these issues as "essential repairs?"