Single skin wall where most of the kitchen is

Myci85

annetheman said:

Myci85 said:

Hello, 

I've been following your recent threads with interest as we've a somewhat similar profile. Applied for a 95% LTV mortgage with Accord due to partner having some historic adverse and being on a fixed term job contract. 

Did not realise the house we are trying to buy also has the kitchen in a single skin extension, it is an ex council brick house and they all have the same single height side extensions, so I was hoping they were of the same construction as main house. Have this afternoon had text from EA informing us that mortgage surveyor went out today and have confirmed it is single skin kitchen and Accord won't lend on it. Vendor has said he is the same guy who did their mortgage valuation 9 years ago, and he thinks other lenders are less strict, Natwest being who they went through. 

I'm so worried that our pool of potential lenders was already quite small due to the adverse history, 95% LTV, fixed term contract and needing to borrow at top of affordability, that we're not going to find anyone who will consider us and this house now. 

Hi, the pool is small but there were definitely a few options of mainstream lenders that don't have any specific exclusions of this type of property; not they they explicitly do lend on it, that'll be for the valuer to advise, but they don't exclude them outright. NatWest was one, Santander was another, and there were a few more I can't remember - we went for Santander because of the slightly lower monthly payment albeit on a 5 year fix...! You can view their lending criteria here to see what they say about fixed term contractors - but IMO definitely trust your broker and go with whatever they recommend as there may be another lender who is even better for you based on your specific circumstances. Good luck!

Thank you. 

Halifax was a lender we were looking at previously, as I think they're generally okay with some minor/historic adverse, but can't find anything about if they'll consider single skin. Hoping our mb can come up with something, just frustrating that it's happened today and we now have at least the 4 day weekend sat not knowing!

Myci85

Wes121708 said:

We purchased our house with a single skin extension which was the downstairs bathroom and only bathroom in our house never had any issues raised with the mortgage provider.
Have to say that we went with accord initial who valued it at 25k under asking so ended up going with another provider who valued it at what we offered so maybe it's accord who are just being cautious!

Hi Wes, can I check, if you had paid the difference, were Accord going to approve your mortgage despite the single skin? It seems it isn't so black and white with them, so I'm just trying to gauge if we stand a chance of them agreeing to lend on the house we're trying to buy. 

Annetheman, how soon after valuation did you get a decline from Accord? After valuation visit thurs (obv with double Bank Holiday in between) my broker has spoken to Accord and been told they do consider single skin, it is down to the underwriter to decide, so she is awaiting their formal assessment. Just trying to fathom whether to be hopeful that it hasn't come straight back as a definite no. Also other than mb telling us mid last week she'd answered a few questions they had about my partner's employment, we're none the wiser if our application as a whole has been accepted or not. Hate the waiting to hear, just hoping that no news might possibly be good news!

annetheman

Myci85 said:

Annetheman, how soon after valuation did you get a decline from Accord? After valuation visit thurs (obv with double Bank Holiday in between) my broker has spoken to Accord and been told they do consider single skin, it is down to the underwriter to decide, so she is awaiting their formal assessment. Just trying to fathom whether to be hopeful that it hasn't come straight back as a definite no. Also other than mb telling us mid last week she'd answered a few questions they had about my partner's employment, we're none the wiser if our application as a whole has been accepted or not. Hate the waiting to hear, just hoping that no news might possibly be good news!

@Myci85 ) - it took about 7 working days after valuation for decline.

For the single skin kitchen house it was: Saturday 2nd March valuation, Friday 8th March referred for additional review (report not looking good), Tuesday 12th March decision not to lend.

For the non single skin kitchen house: I applied Saturday 13th January, valuation done Tuesday 16th January, offer received Wednesday 17th January.

So because it was so fast for the okay house, I knew something was wrong a few days after the valuation this time. My broker didn't wait to find out, we immediately started looking for other lenders and by the time we got the decline from Accord, we submitted the next application. That then took 2 weeks for approval.

I hope you have news from broker about what the other options are now?

Myci85

annetheman said:

Myci85 said:

Annetheman, how soon after valuation did you get a decline from Accord? After valuation visit thurs (obv with double Bank Holiday in between) my broker has spoken to Accord and been told they do consider single skin, it is down to the underwriter to decide, so she is awaiting their formal assessment. Just trying to fathom whether to be hopeful that it hasn't come straight back as a definite no. Also other than mb telling us mid last week she'd answered a few questions they had about my partner's employment, we're none the wiser if our application as a whole has been accepted or not. Hate the waiting to hear, just hoping that no news might possibly be good news!

@Myci85 ) - it took about 7 working days after valuation for decline.

For the single skin kitchen house it was: Saturday 2nd March valuation, Friday 8th March referred for additional review (report not looking good), Tuesday 12th March decision not to lend.

For the non single skin kitchen house: I applied Saturday 13th January, valuation done Tuesday 16th January, offer received Wednesday 17th January.

So because it was so fast for the okay house, I knew something was wrong a few days after the valuation this time. My broker didn't wait to find out, we immediately started looking for other lenders and by the time we got the decline from Accord, we submitted the next application. That then took 2 weeks for approval.

I hope you have news from broker about what the other options are now?

Hmm okay, so no news might not be good news! I've not heard much from my broker since valuation, just that she's spoken to Accord who've advised that they do consider single skin and it is down to the underwriter, so she's awaiting their formal assessment. She's also said she's looked at a few other potential lenders and most of them say the same thing, it would be dependent on valuer and underwriter decision, so no clear cut options it seems. She has said Santander unlikely as they don't like fixed term job contracts which my partner is on. 

Due to the Bank Holidays we're 5 working days past valuation, so will see what next week brings. 

annetheman

Myci85 said:

annetheman said:

Myci85 said:

Annetheman, how soon after valuation did you get a decline from Accord? After valuation visit thurs (obv with double Bank Holiday in between) my broker has spoken to Accord and been told they do consider single skin, it is down to the underwriter to decide, so she is awaiting their formal assessment. Just trying to fathom whether to be hopeful that it hasn't come straight back as a definite no. Also other than mb telling us mid last week she'd answered a few questions they had about my partner's employment, we're none the wiser if our application as a whole has been accepted or not. Hate the waiting to hear, just hoping that no news might possibly be good news!

@Myci85 ) - it took about 7 working days after valuation for decline.

For the single skin kitchen house it was: Saturday 2nd March valuation, Friday 8th March referred for additional review (report not looking good), Tuesday 12th March decision not to lend.

For the non single skin kitchen house: I applied Saturday 13th January, valuation done Tuesday 16th January, offer received Wednesday 17th January.

So because it was so fast for the okay house, I knew something was wrong a few days after the valuation this time. My broker didn't wait to find out, we immediately started looking for other lenders and by the time we got the decline from Accord, we submitted the next application. That then took 2 weeks for approval.

I hope you have news from broker about what the other options are now?

Hmm okay, so no news might not be good news! I've not heard much from my broker since valuation, just that she's spoken to Accord who've advised that they do consider single skin and it is down to the underwriter, so she's awaiting their formal assessment. She's also said she's looked at a few other potential lenders and most of them say the same thing, it would be dependent on valuer and underwriter decision, so no clear cut options it seems. She has said Santander unlikely as they don't like fixed term job contracts which my partner is on. 

Due to the Bank Holidays we're 5 working days past valuation, so will see what next week brings. 

Not for you, I don't think this means bad news. It was specifically for me because my employment and every other aspect is so bog standard - only 1 applicant, almost-vanilla history (1 missed payment of <£400 in 2022) and stable PAYE employee. I am no expert but considering you have contractor element, I would think yours would take longer anyway, so I wouldn't read into it at all.

I think the main question is: What part of the building does the single skin portion of this house have in it?

Accord didn't reject mine just because of the single skin, it was specifically because the kitchen is wholly within the single skin extension. If e.g. the hob and sink were in the "main" part of the house, the outcome would have been different, similarly if the single skin bit only had the living room in it. The valuer recommended it is not suitable security for lending purposes because they essentially said consider the compliant-skin part of the house can be lent on only, and that part doesn't have a functioning kitchen ergo cannot lend!

If your single skin portion is <25% overall and it's not the kitchen, or e.g. the bathroom, I think that could work in your favour!

Your broker is doing the right thing being selective based on your other aspects - there are definitely more who don't exclude single skin so might lend. I am sure you will get a mortgage, it's a painfully slow wait, and valuations obviously so subjective (I think the Santander valuer was half asleep...!). Hang in there!