Mortgage above commercial?! HELP

daand

Hi guys, I have a property in south London a 2 bed flat above a pub 3rd floor, sale has fallen through twice now due to buyer being unable to obtain a mortgage. I didn't realise above commercial is this difficult, currently no mortgage on property. I should add broker has been used twice, I personally think both were useless.

Can anyone recommend a lender who would lend above commercial? I know it's dependent on a few factors but if you've got experience or know of a lender that is flexible with this please let me know.

Thanks in advance!

sparky130a

That'll be a hard sell to virtually all lenders and your best bet would be a cash buyer.

Especially as it's not just a commercial property but also a licensed one.

Try posting on the mortgage board. Having said that even if there is a lender that agrees, that doesn't mean any potential buyer would find their rates acceptable and want to use them....

kingstreet

Virtually every lender for this will fall back on "subject to surveyor's comments" and there are very few (if any) surveyors who are going to stick their heads above the parapet and suggest this is suitable security for a mortgage.

A broker cannot overcome this, however good they may be. Hopefully, they are pointing this out to their client prior to spending money on fees.

daand

Surely all above commercials in London aren't cash owned?! I know certain lenders are very clear about not lending above commercial but was hoping someone on here has a mortgage above commercial that could share who they used

Bossypants

Woolwich had no issues lending to me a year ago, although there the commercial property was a rather innocuous coffee shop rather than a pub. I think a big criteria is whether they are licensed to cook food.

MyOnlyPost

I did a quick google search for you, not much joy unfortunately but I did find this

http://www.85percent.co.uk/buy-to-let-mortgage/btl-flat-above-commercial-property/

Maybe you could target it at the BTL market?