What is my property type? Does my mortgage gets declined?

jaafaar

Hi Everyone,

I hope someone can help me as I cant sleep these days.

I have applied fro a 90 ltv mortgage with Nationwide and it is under review. All the documents are submitted and valuation is carried out but still under review.

On the advertisement of the agency, this property was advertised as a House. I talked to the owner  and she said she has bought the property as a house and it was labeled  as house on her insurance and mortgage. So, I proceed with the application and I labeled it as house.

However, looking at the nationwide it is clearly saying that no 90 LTV for ``Coach Houses''. The property absolutely matches a coach house definition;  a freehold property situated above  two  garages  (one is mine and the other one is under lease for the next house) and a driveway for the other cars to get access to a parking behind the property.

Does my application will be declined for sure? If so, I would like to know ASAP so I may go and talk to a broker regarding that.

Thanks in advance and I would appreciate if you could gimme some advices.

I don't know what to do

K_S

@jaafaar It's a coach-house flat and Nationwide curently do not lend above 85% LTV on flats. So I would expect that (if the valuation is satisfactory), Nationwide will come back with an offer to lend up to 85% LTV.

ukri

I do not get it. How does this application get submitted? Did you not have to talk to a Nationwide mortgage broker, would they not have picked this up? I know that my broker would have. 

jaafaar

Hi Everyone,

Thanks for the reply. I really appreciate that.

I did my application by myself.

I was not aware that the property could be categorized as coach house, also in the list of Nationwide application there were no Coach House.

Also, this property was advertised as detached house!

Do you suggest to cancel the application, and go for another lender?

What lenders do you think would work the best for this.

kingstreet

Coach house flats

Coach house flats are acceptable subject to a satisfactory valuation. A coach house flat is a freehold flat which is the only flat in the block and is built above garages and/or an access way.

https://www.nationwide-intermediary.co.uk/lending-criteria/property-and-constructions#coachHouse
As K_S said, the max LTV is set accordingly.

K_S

@jaafar It looks like it's a flat, best not to confuse it with a house.

There's no point in cancelling the app, might as well wait and see what they come back with. At least you'll know if it's an acceptable security for Nationwide or not, even if it's at a lower LTV.

If it comes back valued as '0', then you can reasonably expect that it may not be straightforward to get a mortgage on it.

Out of professional interest, care to share the Rightmove ad? I've never actually done a mortgage for a coach-house flat so it would be good to know what one looks like.

[Deleted User]

@K_S here is one from near me

https://www.rightmove.co.uk/properties/84816316#/

jaafaar

K_S said:

@jaafar It looks like it's a flat, best not to confuse it with a house.

There's no point in cancelling the app, might as well wait and see what they come back with. At least you'll know if it's an acceptable security for Nationwide or not, even if it's at a lower LTV.

If it comes back valued as '0', then you can reasonably expect that it may not be straightforward to get a mortgage on it.

Out of professional interest, care to share the Rightmove ad? I've never actually done a mortgage for a coach-house flat so it would be good to know what one looks like.

Thanks a lot for your fast replies I really appreciate that.

I will wait, and see what the NW comes with. I expect to have the results by the beginning of the next week. Fingers crossed.

Then, I would share it here....

I would also share the property Rightmove ad...

K_S

Deleted_User said:

@K_S here is one from near me
https://www.rightmove.co.uk/properties/84816316#/

Thanks @Deleted_User

I can't see this getting past a broker to application stage as a "house", god only knows what these Nationwide advisers do on their 2 hour advice call with customers! Or do they offer online execution-only purchase mortgages now?

MWT

... I'd be having words with the Estate Agent as well, they should know full well that something like that is not considered to be a house and it is misleading to advertise it as such...

jaafaar

I did it online without talking to an advisor!

I was sure about everything (I know I look like an idiot know)

But it was not my fault, because the property was advertised/insured/bought as a `` detached house'', so I was sure this is a house!I contacted NW,and they told me all the documents are received and approved. Just the the Valuation report is under review from last week. So, nothing I can do!

Do you know how long it takes?

Should I wait for any update this week or next week?