House deemed uninhabitable

Amena5

Hello

I was wondering if anyone had any advice. We have an offer accepted on a property and have renegotiated the price substantially due to repairs needed for an unsafe roof. However, our mortgage lender refuse to make an offer until the roof is repaired as they deem the property uninhabitable.

The vendors cannot pay for the roof therefore we want to, however, we need a mortgage offer of 85%, and think the solicitors need us to have the mortgage offer in order to exchange. Paying for the repairs before exchange in order to get a mortgage offer is a risk. We love the house and could not afford one like this any other way. Does any one know of any lenders who may be more flexible?

Many thanks

ACG

It is not the lender, it is the surveyor.
You have a few options, the easiest (but most expensive) is a bridging loan, purchase the property, do the repairs and then remortgage.

Have you spoken to your solicitor about exchanging contracts, but with a clause to say you can pull out if needs be? This gives you a chance to tie the vendors in, do the work and then purchase the property or to back out if you are unable to get a mortgage? No idea if that is possible but worth a try.

Amena5

Hello

Thanks- yes our solicitor can do that, but I am not sure if we can exchange without a mortgage offer in place we are waiting to hear from the vendors solicitors

csgohan4

never pay anything to improve the house until you have exchanged. The vendor can simply take the house off the market and he has done nothing illegal and all the while have a free roof done.


Time to move onto another house.

Thrugelmir

Amena5 wrote: »

I am not sure if we can exchange without a mortgage offer in place

Your vendor won't even proceed with their side of the transaction. They'll be remarketing the property.