Santander appeal process

des1

Just before exchange of contracts on sale informed by local council possibility of new link road being built in village. Santander now refused mortgage until decision made on road. Consultation doesn't begin for another week and will take 6 months. Buyers are planning to appeal to Santander. Does anyone have any experience of this process and the likelihood of success. Buyers don't want to apply to other lenders immediately because if a further rejection will affect their credit rating.

Thrugelmir

des1 wrote: »

Santander now refused mortgage until decision made on road.

More likely Santander would want the property revalued on the basis that the proposed road is built. To quantify the impact on their security for the debt.

des1

Thank you for your response. Things seem to be going from bad to worse. Apparently late yesterday afternoon Santander concluded their appeal and agreed to honour their mortgage offer. But today have received another letter from valuer saying that a blight notice needs to be put on the property. It is all getting very confusing. Purchasers still want to go ahead and as yet Santander have not withdrawn mortgage offer for a 2nd time but everything on hold again. Any advice appreciated.

Thrugelmir

How badly would the proposed road impact the property. You are the ones buying it and ultimately will most likely be selling it. Before moving on. Lender is only concerned that the security is adequate for the mortgage advance and/or the remaining debt in the future. As this of course will diminish over time.

des1

Actually it is family members selling the property who seem to be getting conflicting accounts. As we now understand it Santander were asking for a revaluation of the property based on the likelihood of the road going ahead. Yesterday they had agreed to honour the offer. Today the purchasers have received a letter from the valuer, a copy of which has been sent to Santander, saying that he cannot value the property on the basis that the road goes ahead as it may become subject to a compulsory purchase order. The house is one of many, several of which have just been sold and others are under offer, the road (if it goes ahead and there are three separate proposals, one which would be miles from the property and two which could be the far side of a large field opposite) surely this would mean all of the houses being blighted. In the meantime everyone is in limbo.