Mortgage rejected because of acm ckadding

MrPez

I'm trying to buy an apartment in Glasgow which was built in 2006. At the time it met all building standards but post-Grenfell the cladding has been deemed unfit.

The original developer has agreed to meet the cost of replacing the cladding and the project has started. It is expected to take anoyher year or so to complete and in the meantime they are paying for a 24hr fire warden.

My mortgage company (Accord) won't consider lending until the cladding has been removed.

Are there any other lenders that are a little more flexible?

csgohan4

consider getting a broker who may know the criteria of the lenders, otherwise you may have to find somewhere else

[Deleted User]

I doubt it will be something that will be on any broker published criteria. Would just be a case of calling around from the top of the list down and seeing who would do it. Most of the biggest lenders have a much larger criteria guide behind the scenes that they can access when very spefic queries come in through a pre-application valuation request.

If you are going to Accord id assume you have a broker already in which case what are they doing to answer your question?

I always worry when i see questions like this. Have i ever given my client so little confidence that they have had to resort to going on a public forum? I sure hope not

kingstreet

We've just had a Halifax case given a £0 value on a newbuild flat as the surveyor won't value it until the developer confirms what it's going to be wrapped in.

haras_nosirrah

I have managed to get a high Street lender to agree to lend once they have a confirmed date for the work to be done and confirmation from nhbc that the work would be covered at no cost to the client but my client pulled out before I had the chance to put it to the rest

MrPez

Thanks for the info guys. I do have a broker and he's looking into it for me now, I was just wanting to enquire myself too as time is running short! I also find this place a very helpful resource and like to get a second opinion on things.

silvercar

kingstreet wrote: »

We've just had a Halifax case given a £0 value on a newbuild flat as the surveyor won't value it until the developer confirms what it's going to be wrapped in.

Surely no new builds are being clad in unsafe stuff :eek: ?

AnotherJoe

OP what about the cost to reclad? Who will be picking the bill up for that?

davidmcn

AnotherJoe wrote: »

OP what about the cost to reclad? Who will be picking the bill up for that?

From the OP:

MrPez wrote: »

The original developer has agreed to meet the cost of replacing the cladding

though I'd be interested in seeing how binding that "agreement" is, given the cost would otherwise fall on the flat owners.

AnotherJoe

Thanks I missed that.
Yes I'd like to see an iron clad guarantee regards that before proceeding.

kingstreet

This is what Halifax has come back with on our newbuild;-

Property is understood to be of a construction which may include ACM or other cladding which has not been tested and considered fire safe. I have not provided a valuation because the property is not currently acceptable to the lender due the need to confirm whether the cladding presents a fire risk.

We require the Building Owner and/or its agent, as the 'responsible person' under the Regulatory Reform (Fire Safety) Order 2005, to produce a written statement to confirm that the subject property meets the requirements of the current guidance from MHCLG. The statement must be prepared by a suitably qualified independent professional advisor who is a member of one of the professional bodies listed by the Ministry of Housing, Communities and Local Government (MHCLG) in Information Note 1 (or any subsequent list).

List of recommended professionals from MHCLG;

Architects Registration Board (ARB)
Association of Consultant Approved Inspectors (ACAI)
Association for Project Management (APM)
Association for Project Safety (APS)
Chartered Association of Building Engineers (CABE)
Chartered Institute of Architectural Technologists (CIAT)
Chartered Institute of Building (CIOB)
Chartered Institute of Ecology and Environmental Management (CIEEM)
Chartered Institution of Building Services Engineers (CIBSE)
Chartered Institution of Water and Environmental Management (CIWEM)
Construction Industry Council Approver Inspectors Register (CICAIR)
Institute of Clerks of Works and Construction Inspectorate (ICWCI)
Institute of Environmental Management & Assessment (IEMA)
Institution of Civil Engineers (ICE)
Institution of Fire Engineers (IFE)
Institution of Structural Engineers (IStructE)
Local Authority Building Control (LABC)
Royal Institute of British Architects (RIBA)
Royal Institution of Chartered Surveyors (RICS)
Royal Town Planning Institute (RTPI)
Society of Façade Engineers (SFE)