Surveyor Declined due to Banks Lending Criteria...

rYaNsEvEnTyEiGhT

Does anyone know where I can find Santander's Lending Criteria? Their surveyor gave inconsistent information, whereby they ticked the box to say its worth the mortgage, but then said due to Santander's lending requirements based on resale-ability, they cannot advise to proceed with the mortgage. Rather than me paying £365 for a second opinion, how can I see what the criteria is, because if it says something like 'building works nearby' then it will fail again. Can anyone help or point me in the right direction? Even my guy at Santander couldn't find the criteria anywhere?!

ACG

https://www.santanderforintermediaries.co.uk/products-and-criteria/mortgage-lending-criteria/

amnblog

You will find the written criteria to be of little value in this case.

Santander will base their decision on what the valuer is telling them. If they go against that position they have no-one to sue when it all goes wrong later.

koexelek

amnblog wrote: »

You will find the written criteria to be of little value in this case.

Santander will base their decision on what the valuer is telling them. If they go against that position they have no-one to sue when it all goes wrong later.

Correct.
It's dead in the water with Santander.
Best bet is to try another lender who will offer a free survey.
If this surveyor does not like it , chances are other surveyors wont either, as they are very cautious these days.

Tracytop81

Sorry no words of wisdom to offer, but I can understand how frustrating this is.
I'm in a similar situation with Natwest, nothing wrong with the property, but due to it being out of character for the area they will not give a mortgage as it may not be desirable for resale if this is needed in future. It's a large detached house in a predominantly terraced area. I have complained and still awaiting a response. I will keep my fingers crossed for you!

old_hat

Tracytop81 wrote: »

Sorry no words of wisdom to offer, but I can understand how frustrating this is.
I'm in a similar situation with Natwest, nothing wrong with the property, but due to it being out of character for the area they will not give a mortgage as it may not be desirable for resale if this is needed in future. It's a large detached house in a predominantly terraced area. I have complained and still awaiting a response. I will keep my fingers crossed for you!

Feel your pain but from a sellers point of view.

Bank gave us a mortgage on a flat above a commercial property a few years ago. No problem. We recently re-mortgaged. No problem, and surveyors have valued the property - at least 3 different surveyors

We have tried to sell the property and had at least 25 different offers. The flat is desirable, marketable and will easily sell in terms of attracting buyers. People want it as it is a great property larger than other flats and in the best area of town.

Sadly, whenever a buyer has been found banks have declined to lend on the property. Even when a bank has agreed that they could lend on it the surveyors have valued it at £0.

When we questioned one surveyor he said it was due to the bank's criteria; when we asked the bank they said it was due to the surveyor!

We now have to take cash offers which diminishes our potential deposit for the next. So, banks will lend to us on the property but no one else!!

If we knew what we know now we would have bought a boring box style flat in a boring building, probably had only a couple of offers - but at the right price!

rYaNsEvEnTyEiGhT

Fingers crossed too :O)

Thrugelmir

rYaNsEvEnTyEiGhT wrote: »

but then said due to Santander's lending requirements based on resale-ability, they cannot advise to proceed with the mortgage.

What's the nature of the property. Is it close to shops, a pub etc.

Thrugelmir

Tracytop81 wrote: »

but due to it being out of character for the area they will not give a mortgage as it may not be desirable for resale if this is needed in future.

Wasn't this an auction property? This in itself suggests the limited market.

Tracytop81

Yes mine was an auction property, previously advertised for sale through estate agents at which time I put in a few offers below the asking price, but all offers had been rejected as he wanted more than anyone was willing to pay, as it was there was competition at auction, but we didn't reach anywhere near the price it had previously been advertised for, so I believe It went for a reasonable price for the local area and was in demand at the lower figures. Not sure if that's a good thing or not.

old_hat

Thrugelmir wrote: »

What's the nature of the property. Is it close to shops, a pub etc.

Yes - above a charity shop but with an Indian a few doors down. We were first in our families to buy, had we known that banks would only lend to us as first time buyers and not to first time buyers subsequently we would have chosen elsewhere. But we are where we are.

The whole point of the housing ladder is just that. For us, trapped, this has been the most stressful thing and not good for our mental health.

We both work hard for what we got yet when wanting to move on factors have stopped us from doing so. And once sold our only option may be a help to buy 5% to get a house in the area we want.

After 9 years we never thought we would be in this situation. Oh well.