Mortgage companies who will accept retrospective guarantees

Kahugs10

Hi all,

We're in the process of trying to buy a new build property that has never been lived in (The couple building it split up and are now selling instead of living in it as planned).
It's going to need a retrospective build guarantee as the couple didn't put this in place (or an architects certificate) at the beginning/throughout the build. We've informed the owners of this and they are in the process of getting this arranged as we explained we (or anyone else) won't be able to get a mortgage on the property without this in place. We're not worried about them being able to get the retrospective guarantee as they used a local very reputable builder who we know and my husband is a chartered surveyor so feel confident about the house itself, it's a more of a question of what lenders will accept a retrospective guarantee?

So far we've paid for a valuation from Halifax who said they don't accept retrospective guarantees and we saved ourselves the expense of paying Newcastle mortgages by phoning them first to ask if they did and the answer was also 'no'. 

Without going directly to every mortgage provider, is there a way of finding out who will accept the retrospective guarantee as it appears from reading other forums posts that it will be very few if any!

thanks in advance :-)

Thrugelmir

Any guarantee will be of limited value for obvious reasons. One for cash buyers. 

trix-a-belle

It will probably be something set out in the CML lenders handbook but which section number I don't know.
When I last bought the house (~5 years old) only had an architect certificate rather than an NHBC guarantee which first direct who I was looking to borrow from wouldn't accept but Nationwide would, my solicitor was the one who advised me the relevant section and that it was covered in there so I'd recommend you ask yours.

eddddy

You can see what the different mortgage lenders say here:
https://lendershandbook.ukfinance.org.uk/lenders-handbook/englandandwales/question-list/1919/

Maybe I'm misunderstanding, but a number of lenders seem to say about Professional Consultant's Certificate / Guarantees "We only require this where the new property is to be occupied for the first time." - which doesn't seem to apply to you.

But Halifax say that, and they've rejected your application - so maybe I'm wrong.


Although sometimes mortgage lender's rules seem to have got more rigid than their answers in the lenders handbook suggest.

kingstreet

eddddy said:

You can see what the different mortgage lenders say here:
https://lendershandbook.ukfinance.org.uk/lenders-handbook/englandandwales/question-list/1919/

Maybe I'm misunderstanding, but a number of lenders seem to say about Professional Consultant's Certificate / Guarantees "We only require this where the new property is to be occupied for the first time." - which doesn't seem to apply to you.

But Halifax say that, and they've rejected your application - so maybe I'm wrong.


Although sometimes mortgage lender's rules seem to have got more rigid than their answers in the lenders handbook suggest.

First line of the OP - We're in the process of trying to buy a new build property that has never been lived in.

eddddy

kingstreet said:

First line of the OP - We're in the process of trying to buy a new build property that has never been lived in.

Ooops!...

Kahugs10

Thanks all, I really appreciate your responses.

 I have had a good read of that attachment and it looks like apart from a few which say you can directly contact them to find out, it's a no go  🙁

I guess the only options are that it is sold to a cash buyer (I would say the chances of that happening are pretty slim) or the owner needs to occupy it to get around it that way. I don't suppose anyone knows how long the occupation would need to be?