Mortgage Application declined? help!

lucy632

So I’m a first time buyer, found a lovely 2 bed flat. Offer accepted and made my mortgage application with nationwide last week. Valuer went out the other day to value the flat and my mortgage application has now been declined. Rang the bank up asking why and they have told me the valuer has said the flat is in close proximity to an off licence which is opposite and a few houses along. I didn’t even think of this at the time and didn’t even know this was an issue. I just wondered what should i do next? Would any other banks be willing to lend or is this a red flag for getting a mortgage on this property/do I just give up and find somewhere else? Help needed thank you?

nicholbb

Use a broker.

Lilla_D

Yes, a broker will sort a mortgage out for you - there are lenders who can accept flats like that, just not necessarily Nationwide.

There are so many little things that can trip you up and people are unaware of, that makes applying for a mortgage directly like playing Russian roulette or buying a lottery ticket...

ACG

You have probably been unlucky there as opposite and a little along is probably a little harsh but it is not uncommon for certain types of commercial premises to be a problem (pubs, take aways, mechanics, garages, launderettes among others).

A broker will get this through for you.

dwsjarcmcd

Or alternatively, you should look elsewhere for your flat as this may happen again when you come to sell it (unless it is really reflected in the price)

Brock_and_Roll

As a banker of many decades, it is amazing what little things credit officers can think of once they start getting a bit personally nervous about a particular lending market to use as a reason to knock back an otherwise "qualifying" proposal.

No doubt someone will lend. Of course any retail unit could change to an off-licence / bar / pub / massage parlour with the appropriate permissions during the mortgage term, or conversely the existing off-licence could turn into a artisan bakery!

MortgageMamma

Don't give up

I understand when you are a first time buyer being knocked back like this is going to leave you feeling pretty upset. And you may well be under pressure from the selling agent to get your offer in place. Take a deep breath and put it down to experience. And see a broker, but before you commit to a particular broker ask them how soon they can see you, source the mortgage and submit the application for you, as you don't want to lose the property.

You may be a little wary of paying a broker fee but I promise you it is worth your while. What the broker does, and how will be the first step towards educating yourself about mortgages, a good broker will always give you reasons for the actions they take.

If there are any other obstacles to your mortgage success they will be able to tell you what could be a problem and how they are going to get round it for you.

Good luck buying your first home.

lucy632

Thank you all for the advice. Mortgage advisor tried to appeal the decision but I knew I had no chance. So I am now using an independent mortgage broker and submitting another application with a different lender and fingers crossed this one goes okay!