Renovated house now unmortgageable

ALEX19821

Please can any one offer advice?

I bought a bungalow in 2018 and we gutted it, put a storey on top and made it into a house (using an experienced builder).

I got all planning permission and building regs sign off (2000). We had an architect design the house. 

I've just come to remortgage and the valuation came back as £0!!!
This is because I have no warranty and the lender classes it as a new build!! I disputed this as the architect confirmed its not a new build, we didn't get VAT back, original walls were kept etc. I haven't got an architect certificate either as this was never offered.

I'm now stuck on a large interest rate (SVR) that I can't afford and I don't know what to do.

Are there any lenders left that will accept build regs sign off etc without a warranty?

thank you in advance 

JMA74

This would just depend on the lender you choose as some will class it a full renovation as a new build and some wont.   The question on a lot of applications isnt 'is this a new build?' but is 'Is this the first time the property is being lived in in its current state?'.  

Are you using a broker?

ACG

Whilst it might not be a new build, lenders do usually treat them the same when major renovation has taken place. Its not too dissimilar to limited company directors, technically they are employed by their company but are treated the same as self employed sole traders. 

Some lenders may consider it, one for a broker. Alternatively you could have a look at something like global home warranties - https://www.globalhomewarranties.com/house-builders/our-lenders - I am not sure if they do one off properties, but no harm checking. They might even be able to point you to other companies if not. I spoke to the owner once many years ago (I want to say he was called jimmy or james but could be wrong), he was a really helpful guy. 

ALEX19821

Hi thanks for your replies. Do you know which lenders will accept the property with building regs sign off, no warranty? Thanks 

MWT

ALEX19821 said:

Hi thanks for your replies. Do you know which lenders will accept the property with building regs sign off, no warranty? Thanks 

As suggested above, talk to a broker, it is difficult for the brokers who post on here to name specific lenders for you without it constituting 'advice' given without a clue about the rest of your circumstances...

ALEX19821

Will do, thanks