Unusual Property Mortgage solutions:
Mortgages for non-standard construction or unusual property types...
Are you having difficulty in obtaining mortgage funding due to a non-standard property construction or unusual property type? If so, read about our unusual property mortgage solutions!
Shire Direct can usually help arrange mortgage funding for houses that may be deemed as defective dwelling (i.e. those built using pre-cast concrete panels or concrete blocks) and for unusual property types such as eco-friendly houses, cottages with thatched roofs, houses with flat roofs, timber framed houses, converted barns and even more unusual property types such as windmills and lighthouses!
Below we'll explore the mortgage help we can provide for those properties deemed to be defective dwelling, concrete house construction, and more unusual property constructions such as flat-roofed houses, windmills, converted barns, and cottages with thatched roofs.
Unusual Property Mortgage solutions -
table of contents:
Defective dwelling and non-standard construction mortgages explained
If you're a tenant of a property that was originally built using pre-cast concrete panels or concrete blocks, it's likely that you may have had difficulty arranging a mortgage to buy your home under the Right to Buy provisions.
So, what is defective dwelling exactly then? Well, defective dwelling or defective housing is a specific term that is used for such non-traditionally constructed properties, and which are referred to in the 1984 housing defects legislation. These non standard construction properties were built using various system-built techniques in the late 1940's and 1950's to provide much needed housing for the burgeoning post-war working classes.
They were of simple design, inexpensive and could be built en masse very quickly. Although originally intended as a temporary measure, many of these "prefabs" still survive today. However, inspections of these system-built properties in the early 1980's revealed that the steel frames of the property and steel reinforcements within the concrete panels were corroding and causing the concrete to disintegrate, and thus were declared as being "defective" by the Secretary of State.
Many of the designs were of prefabricated concrete construction, in other words - concrete panels based around a steel framework. The properties, usually built by local authorities, were comparatively inexpensive, and could be erected quickly. However, the investigation's in the early 1980's discovered that the steel frames and reinforcements were corroding, and causing the concrete panels to crack and disintegrate. These applied to a number of types of property, and included:
- Cornish
- Reema
- Wates
- and Smith
where the defects relate to the ineffective protection of the embedded steel in the reinforced concrete load bearing parts of the building.
If you live in one of these "defective" properties, you'll be aware that a lot of the defective housing stock is often located in prime areas, the houses having good spacious accommodation, and are often set in very large plots of land. So once repaired, this type of property can be an excellent investment, and will usually increase significantly in price.
Shire Direct can also help if you would like to upgrade your home to a conventional construction, and you'll find we can usually help obtain a mortgage. Please contact us and we'll provide you with a rapid in-principle decision.
However, not all concrete constructed property is deemed as being defective, there are those properties where a large portion of the construction was cast on site, (that is by pouring ready-mixed concrete into shuttering to form the walls), such as "Wimpey No-fines" which are often acceptable by many traditional lenders as being adequate security.
Purchase of defective dwellings
As a tenant, you may be entitled to buy your home even though it is a defective dwelling provided you meet the usual eligibility requirements. However, you should be aware that the purchase of a defective dwelling can have a number of implications, for instance:
- there are likely to be problems obtaining a mortgage on the property from traditional lending sources and it is likely that a mortgage will only be available from a specialist mortgage lender;
- on purchasing the property, you would be responsible for any repairs necessary to the property;
- no grant assistance would be available to the purchaser to carry out works to the property;
- the fact that the property is deemed to be defective may have an impact on any future sale of the property as there is likely to be a more limited market for properties of this nature.
We've been turned down for mortgage funding because our property is of concrete construction, can Shire Direct help me?
You'll be happy to know that yes, we can usually assist!
Although there can be problems with mortgage funding of those properties that are included on the Defective Housing List, such as:
- Airey
- Unity
- Reema
- Cornish
- Wates
- Orlit and
- Hawksley
For more information on non-traditional property constructions you might wish to take a look at our Non-Standard Construction Mortgages page in our Mortgage Glossary.
Other types of unusual property constructions...
As well as being able to provide mortgage help for those with properties deemed to be defective dwellings, Shire Direct are also able to provide unusual property mortgage solutions.
Typically, it can be difficult to obtain mortgage funding for properties that are timber-framed, or houses with a flat roof, cottages with thatched roofs, converted barns, or even more uncommon and unusual property types such as new eco-houses, windmills, and even lighthouses!
And that's where Shire Direct can usually step in and help! Over the years, Shire Direct have managed to develop a portfolio of specialist lenders, and we are often able to arrange mortgage funding where conventional lenders often won't!
A quick chat with one of our mortgage advisors will soon help to put you in the picture, and we are generally able to come up with a rapid in-principle decision.
Contact Shire Direct for an unusual property mortgage solution!
So, why not get in touch with us to see if we can help with an unusual property mortgage solution for you!
Here at Shire Direct we believe we have the skills and the approach to come up with the most appropriate solution for you. You'll find our service to be friendly, helpful and not in the slightest bit stuffy. So call us today on Freephone 08000 282 281, our lines are open 7 days a week from 8am until 10pm to discuss your requirements, naturally without obligation, or you may prefer to enquire online at any time instead. We'd love to hear from you whatever your circumstances!
So that concludes our look at our unusual property mortgage solutions, we hope you found it to be helpful - remember we're just a free telephone call or a couple of mouse clicks away and will be delighted to help in any way we can.
The overall cost for comparison is 9.8% APR.
The actual rate available will depend upon your circumstances. Ask for a personalised illustration. APR variable and based on a usual case. Most customers are likely to receive a lower rate or the same rate as our overall cost for comparison rate - learn more about APR.
There are no upfront broker fees.
However, a fee may be charged on successful completion. An indication is that on conforming cases (straightforward applications with no or minimal adverse credit) a fee may be charged of up to 1% of the amount advanced, typically £795 and will depend on your circumstances.
For non-conforming cases (where case research and processing may be more complex due to adverse credit or unusual circumstances), a fee may be charged of up to 3% of the amount advanced, typically £1,995.
THINK CAREFULLY BEFORE
SECURING OTHER DEBTS AGAINST YOUR HOME.
YOUR HOME MAY BE REPOSSESSED
IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR ANY OTHER DEBT SECURED ON IT.
Adding existing debt to your mortgage will increase the repayment term and overall cost.
