Close to commercial premises

tunnel

Hi all,
I'm looking at buying a property and thought as I was in the bank yesterday I'd speak with their in house adviser who mentioned that as the house was close to a pub it may not be mortgageable. I know about flats above and properties connected to commercial premises but not close to and this one there's about 3 driveways width between the house and the pub(its an access for the other 6 houses on the terrace).


Will no one offer a mortgage on this or am I going to have to bite the bullet and endorse the services of one of you guys to help secure the property via a specialist lender?


It was the Halifax I was in by the way.


tunnel

GMS

This will come down to the valuer's comments.


Whilst not attached or above a commercial the fact that there is a pub in the vicinity could be seen as a negative. Is there a late license? Is it non food?


May be worth speaking to one of the valuers in the area prior to submitting an application.


Alternatively engage a broker.

ACG

It will always come down to valuers comments. So for that they will take into account what type of commercial premises it is and what sort of impact that could have on selling the property (ie pub - noisy customers etc).

Your advisor has not said it will get declined, just that it could.

When this is a potential issue, I prefer to use smaller lenders. That way you can usually take a google street map picture of the photo and send it over to an underwriter or even the surveyor in some circumstances... that is not a guarantee, but its a good indication. Smaller lenders does not necessarily mean higher rates.

boliston

I think a lot would depend on the type of pub - there used to be a "dive" of a pub a few doors down my road, the type that had karaoke nights, "big screen" sky tv and in the summer you could hear the awful karaoke along the whole sreet as they had all the windows wide open - luckily it closed! In the next street there is a really nice "traditional" pub that has a really good selection of real ales, NO sky tv or karaoke. They occasioanally have a live band (usually fairly reasonable) but they are carefull not annoy neighbours with all the windows open (I guess they have an aircon unit). That's the sort of pub that is an asset rather than a liability!

ACG

But you cant guarantee it will be an asset.

Ive lived in 2 pubs, 1 of them was full of wannabe gangsters. The brewery put my mum and step dad in there to basically turf them out and bring it up to scratch. The second one was much nicer but occasionally you would get the odd prat doing the whole "do you know who I am" thing if you have a "weak" landlord/landlady that nice pub could quite easily go to the wall.

tunnel

Thanks,
The pub in question is actually a working mans club, only rowdiness is who's getting the best spot outside for the electric wheelchairs

davidmcn

I would say it's just a general negative point which would be reflected in the value, not something which makes it unmarketable.