Would you buy a non-standard construction house?

lincroft1710

Mullingitover said:

@lincroft1710 Do you say that because of the build quality or the quality of the investment?

There is  a stigma attached to this and other types of "defective dwelling".It is a personal prejudice on my part. But if the house is cheap enough and it has the certificate, then it may be worth considering if it ticks boxes for a potential purchaser

Mullingitover

It's been two weeks since our conveyancer asked our lender if they're still happy to lend at the same amount on a PRC-certified NSC/DD house.

They haven't responded yet.

We already have a mortgage offer - based on the house being standard construction. The EAs are trying to pusk the sale through. 

Should we just press on, or is it critical to make sure Halifax is aware of this fact before we take on the mortgage?

ANGLICANPAT

You're already offering  a price decided when you thought it was a standard property ,,  house prices are said to be going down soon anyway, so unless you're also selling and have a ready buyer,--  or if you are for some reason in a hurry to move, why not wait for something without question marks against it and possibly cheaper? Dont be pushed by EA's.Its their job to try hard to unload 'awkward' properties for their clients. I would definitely be asking Halifax if it was me. Last thing you'd want is them pulling out at the 11th hour if you went ahead . 

Bendy_House

Of course the EA is trying to push it through.

Mulling, I cannot comment on the construction as I simply don't know, but SURELY, when you take into account the stigma (at least) of its previous designation, coupled with the current market, it would be a very strange decision to offer the original asking price.

It will surely always be an awkward property to sell on. It 'may' require larger deposits from future buyers. Some insurance companies 'may' consider it an increased risk.

It just isn't a standard construction, and should be priced according to that label, and that 'risk', perceived or real. (Yours might not be 'real', but it sure is being 'perceived'!)

How much less? No idea... I presume you really like the house itself*, as you seem still inclined  to go at the full asking if needed. So, the first Q is, if you lower your offer (as my gut says you should) but it's turned down, what will you do? Walk away, in the quite likely possibility that they'll come begging after a few weeks, but accepting the risk that they won't? Or, capitulate, which is, of course, entirely your right (but then the 'issue' of its status continues with you...)

How much research can you do to help? As asked before, how many other houses in the 'hood are of similar construction? (Should be easy to ID). And, of these, how many have been 'sorted' with certification as yours appears to have been? For the latter, I'd suggest it's time to start meeting some of your potential new neighbours

*What does this house have that others in the area do not? Why THIS one for you?

user1977

Mullingitover said:

It's been two weeks since our conveyancer asked our lender if they're still happy to lend at the same amount on a PRC-certified NSC/DD house.

They haven't responded yet.

We already have a mortgage offer - based on the house being standard construction. The EAs are trying to pusk the sale through. 

Should we just press on, or is it critical to make sure Halifax is aware of this fact before we take on the mortgage?

They already are aware - your conveyancer has told them. And isn't going to proceed until the lender confirms they're happy.

movilogo

This type of construction is common in many other parts of the world. There is nothing inherently wrong structurally in this type of buildings and they are safe for habitation. The concern originally came from assumption that steel reinforcement used inside concrete may corrode and make the structure unsafe but several engineering tests later proved there is no such risk. 

However, the lenders go by rulebooks and most of them won't lend unless it has a certificate (as mentioned in prior posts). Be aware that many buyers go by hearsay rather than engineering analysis - so expect to struggle when selling this property. Hence, you should buy it only if getting considerably cheaper than similar properties with standard construction. 

caprikid1

I would be looking for a substantial discount on the price of a typical property without the cloud of non standard. That said it feels like you have been deliberately misled which is a potential bigger issue.

I know in Swindon there were some that were mortgageable untouched that represented excellent value. Personally, if a normal house was £220K I would be wanting to be paying max £160K IE At least 20% less. If they are priced remotely the same walk away.

lincroft1710

From the late 1940s until mid/late 1950s there was a desperate rush to build new homes to replace those lost in WW2 and those demolished in wholesale slum clearance. Many new non traditional building methods were used especially on Local Authority built housing.


Some types such as "Arcon" and "Tarran" bungalows were only designed for a very short life (although there is still an estate in London where these still exist) but many were still standing after 40/50 years.


Other types such as "Airey", "Cornish Unit", "Orlit" and "Unity" were designed in the expectation that they would not need to be replaced, but a serious fire in an "Airey" revealed serious structural defects which could shorten the lifespan of the house. Although many councils undertook to have their affected housing stock properly repaired and certificated, some did partial uncertificated repairs resulting in an unmortgageable property. Hence lenders' reluctance to rush into giving mortgages on such houses.

Mullingitover

https://www.rightmove.co.uk/properties/124453214#/?channel=RES_BUY

This is the property - it has a large square footage as you can see. Bear in mind this is Hertfordshire prices.

Similar properties nearby sell for around the same - though I don't know if they're also repaired Unity houses.

I will need to go and ask some locals, I think.

lincroft1710

Mullingitover said:

https://www.rightmove.co.uk/properties/124453214#/?channel=RES_BUY

This is the property - it has a large square footage as you can see. Bear in mind this is Hertfordshire prices.

Similar properties nearby sell for around the same - though I don't know if they're also repaired Unity houses.

I will need to go and ask some locals, I think.

I'll stick my neck out and say now that I have seen photos, I think the  2 storey brick and tile extensions to the side and rear would not have been built if the house had not been repaired properly, as they would have been very costly. I trust your solicitor has seen the Building Regs completion cert.


I know Knebworth isn't cheap, but £600K for a 3 bed semi seems a lot