Lender wants Structural engineer report

jellybeansUK

Hi,
We placed on offer on a flat (share of freehold in a small block on 6 flats) and we were so glad that our offer accepted by the vendor. The vendor says the main reason for accepting our offer is all the landlords in that block are with Halifax mortgage and our AIP is also with Halifax.

My DH and I were happy and applied for mortgage immediately. In the valuation survey, Halifax says the building needs Full Structural Engineer report.

I am wondering, the same Halifax lend mortgage for the all the other house-owners , why are they picky now and asking for Full structural engineer report?

I already paid for HomeBuyers report with Halifax along with Valuation survey to save time so both valuation and HomeBuyers survey happen at the same time. I now have to pay full structural survey which is very expensive?

Any suggestions please?

HouseBuyer77

Well they probably gave a reason for wanting it, what was it?

There's not much you could do, other than switch lenders but if they've picked up something that means they want a strucural survey it's not something you just want to ignore. Plus the next lender's surveyor may say the exact same thing.

davidmcn

jellybeansUK wrote: »

I am wondering, the same Halifax lend mortgage for the all the other house-owners , why are they picky now and asking for Full structural engineer report?

Because presumably the surveyor has raised concerns about the structural integrity of the building (something which might not have existed, or been noticed, previously). If anything the fact they've got other lending in the same block will make them even more concerned!

Malmo

jellybeansUK wrote: »

I already paid for HomeBuyers report with Halifax along with Valuation survey to save time so both valuation and HomeBuyers survey happen at the same time.

What does the Homebuyers report state about the structural condition of the building and does it highlight any action for your legal advisor?
If Halifax require a full building survey, then that's what you'll need to do.

LateStarter

You options are very limited:
Don't pay for Structural Survey, Halifax says NO. You absorb losses & walk away.

Pay for Structural Survey. Results are okay, you buy property. Results are not good, Halifax says NO, you ...

Without you telling us why Halifax wants the survey, there's nothing else anyone on here can really say.

Hoploz

It can't just be me, can it? Alarm bells ringing that the vendor is pleased and accepted your offer because of a certain lender .... So that means they've tried to sell before with other lenders deciding they wouldn't touch it with a barge pole and Halifax have not noticed so far ... Until now.

Do you want to throw away the survey fee? Find another property to buy!

jellybeansUK

Homebuyers report says "The property suffers from the exceptional disadvantage that is partly of non-traditional construction. This will likely to have an adverse effect on mortgageability and therefore resale, so I urge you to carefully consider whether you wish to proceed. " :(:(

The current reinstatement cost of the property is £125K.

This came to me as a shock as I would expect EA or the vendor to disclose this kind of info before I place an offer on the property.

Can I raise a complaint on the EA?

G_M

LateStarter wrote: »

You options are very limited:
Don't pay for Structural Survey, Halifax says NO. You absorb losses & walk away.

Pay for Structural Survey. Results are okay, you buy property. Results are not good, Halifax says NO, you ...

Don't pay for Structural Survey, forget the mortgage and pay cash.

phill99

jellybeansUK wrote: »

Homebuyers report says "The property suffers from the exceptional disadvantage that is partly of non-traditional construction. This will likely to have an adverse effect on mortgageability and therefore resale, so I urge you to carefully consider whether you wish to proceed. " :(:(

The current reinstatement cost of the property is £125K.

This came to me as a shock as I would expect EA or the vendor to disclose this kind of info before I place an offer on the property.

Can I raise a complaint on the EA?

Another post where 'it has to be somebody elses fault'.

The buyer maybe genuinely unaware about its non-standard construction. The EA (be prepared for a shock) doesn't work for you. They work for the vendor and rely on information given to them in good faith. Remember in terms of professionalism, EAs are only one step up from dead horse and donkey dealers.

Apart from that it's caveat emptor.

ReadingTim

jellybeansUK wrote: »

This came to me as a shock as I would expect EA or the vendor to disclose this kind of info before I place an offer on the property.

Can I raise a complaint on the EA?

The vendor may not have known about the non-traditional construction, or even if they did, it may not have been a factor in their purchase of the property if they didn't require a mortgage to buy it.

And even if they did know, and appreciated what it would mean to someone who did need a mortgage, you'd have to prove they failed to disclose it to their agent. You may also want to consider the extent to which you asked the agent about factors which might impact the mortgagability of the property, as no salesman will willingly volunteer information which might halt the sale.

Sorry if this isn't what you want to hear - suggest you walk away from this place.