Mortgage Refusal Due to Building Type
A first-time buyer agreed to purchase a flat above a busy town-centre restaurant at an attractive price.
Situation
A first-time buyer agreed to purchase a flat above a busy town-centre restaurant at an attractive price.
Issue
The lender raised concerns about the mixed-use building, fire risk, and its reduced appetite for lending on properties of this type.
Impact
The mortgage was declined. Multiple further applications were unsuccessful or came back with less favourable terms.
“The buyer withdrew after months of trying to find alternative lending.”
Same property, two paths
Without early intelligence
The mortgage was declined. Multiple further applications were unsuccessful or came back with less favourable terms.
Typical fees at risk by this stage: £1,500 to £3,400.
The buyer withdrew after months of trying to find alternative lending.
With PropM8
Highlighting lender sensitivity to mixed-use and above-commercial buildings upfront could have prevented wasted applications and the costs that came with them.
Surfaced up front, the same issue becomes a decision made calmly, at zero cost.
The only difference between them is when the issue was found.
How PropM8 would have helped
Highlighting lender sensitivity to mixed-use and above-commercial buildings upfront could have prevented wasted applications and the costs that came with them.
More case studies
The Hidden Enforcement Notice
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How it played outRealised lossApproved Development Discovered Too Late
A family agreed to buy a semi-detached home on a quiet residential street.
How it played outAvertedSeller Avoids a Fall-Through
A seller ordered a Property Intelligence Report before listing their home.
How it was caught
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