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Nationwide have declined mortgage after valuation because it's opposite a shop!
Caramelfrappe
Posts: 1 Newbie
Looking for some advice on this bizarre situation.
I applied to Nationwide to borrow £25,000 on a £77,000 flat. They gave me a term of 9 years as I'm on a fixed term contract, but with paying the maximum overpayments I'd be able to pay off the mortgage in 4 years. I was approved and told I'd have the final decision after the valuation.
So after a lot of chasing up (nationwide are horrible for communicating) I was told today the mortgage had been declined as they did not feel they had security they'd get their money back if I were to be repossessed, and they wouldn't be able to sell it as its opposite a late night off license (a medium sized Spar which is technically an off license but a mini mart which sells alcohol). I've been unable to speak to my advisor because they changed her without telling me, I have no contact details and she hasn't got back to me after the branch and helpline have asked her to contact me. I spoke a few times to both the branch and helpline who said they couldn't give me any more information or go through the appeals procedure and I would need to speak to my advisor.
I told the helpline I was paying 2/3 of the value on a short term mortgage for the minimum amount so can't see how it makes sense and not been given an answer, and the only advice they've given is to not bother appealing. In their mortgage criteria it says if a flat is above a commercial building which may cause a nuisance due to noise or smell they would take it into account when making the decision.
Has anyone been in a similar position?
My options now seem to be 1 - apply to another bank (Halifax have said they only look at the property and not surroundings) but with being on a FTC I'm worried I'll be rejected, or 2 - take out a loan, again worried because of my contract and that I haven't had loans/credit cards before.
Help!!!
I applied to Nationwide to borrow £25,000 on a £77,000 flat. They gave me a term of 9 years as I'm on a fixed term contract, but with paying the maximum overpayments I'd be able to pay off the mortgage in 4 years. I was approved and told I'd have the final decision after the valuation.
So after a lot of chasing up (nationwide are horrible for communicating) I was told today the mortgage had been declined as they did not feel they had security they'd get their money back if I were to be repossessed, and they wouldn't be able to sell it as its opposite a late night off license (a medium sized Spar which is technically an off license but a mini mart which sells alcohol). I've been unable to speak to my advisor because they changed her without telling me, I have no contact details and she hasn't got back to me after the branch and helpline have asked her to contact me. I spoke a few times to both the branch and helpline who said they couldn't give me any more information or go through the appeals procedure and I would need to speak to my advisor.
I told the helpline I was paying 2/3 of the value on a short term mortgage for the minimum amount so can't see how it makes sense and not been given an answer, and the only advice they've given is to not bother appealing. In their mortgage criteria it says if a flat is above a commercial building which may cause a nuisance due to noise or smell they would take it into account when making the decision.
Has anyone been in a similar position?
My options now seem to be 1 - apply to another bank (Halifax have said they only look at the property and not surroundings) but with being on a FTC I'm worried I'll be rejected, or 2 - take out a loan, again worried because of my contract and that I haven't had loans/credit cards before.
Help!!!
0
Comments
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I agree with Nationwide, appealing is pointless. I have never had a valuation appeal overturned with any lender.
Your options are as you say. Look elsewhere, either an unsecured loan or a different lender.
On a £25k loan, I bet its probably not that much more expensive using a secured loan. You will not have to pay legal fees (for the lender) or valuation fees. You would still have some legal costs.I am a Mortgage AdviserYou should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.0 -
Option 3.
Listen to the valuer's concern and buy a different property.I am a Mortgage Broker
You should note that this site doesn't check my status as a Mortgage Broker, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.0
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