Sometimes the borrower is fine and the property is the sticking point. Lenders want a home they could sell easily if they ever had to repossess, so anything unusual makes them cautious. That caution is what leaves many perfectly good homes labelled unmortgageable.
This guide runs through the property types that cause problems and what tends to unlock them. It is information only, not advice, so use it to understand the issue and then talk to an FCA-authorised broker who knows the specialist lenders in this space.
Non-standard construction
Non-standard construction covers anything built outside the usual brick or stone with a pitched tiled roof. Lenders worry about durability, repair costs and resale, so they lend on fewer of these homes and often ask for more deposit.
- Concrete and pre-cast reinforced concrete homes, including many post-war types.
- Steel-framed and timber-framed houses.
- Prefabricated and system-built council housing.
- Cob, thatch and other traditional rural construction.
Flats above shops and commercial premises
A flat above or beside a commercial unit is harder to mortgage because the value can be affected by the business below. A quiet office is viewed more kindly than a takeaway or a bar. Some lenders decline these outright, while others consider them with a larger deposit, so it is worth knowing which is which before you apply.
Cladding and EWS1
Since the fire-safety changes of recent years, many flats in blocks over a certain height need an EWS1 form confirming the external walls have been assessed. Without one, some lenders will not proceed. The rules have eased for lower blocks, but this remains a common reason a flat is hard to mortgage, so check whether a valid form exists early.
Short leases
Leasehold flats lose value as the lease shortens. Many lenders want a minimum number of years left, often around 70 to 85 at the end of the mortgage term. A short lease can sometimes be extended, which restores value and mortgageability, though it has a cost and a legal process.
Listed buildings and unusual homes
Listed status protects a building's character but limits what you can change and can raise repair costs, which makes some lenders cautious. Converted churches, former commercial buildings and homes with a flying freehold all fall into the awkward bracket. A specialist lender and a surveyor who understands the property type are usually the way through.
Common questions
Can I get a mortgage on a concrete or prefab house?
Often yes, but from a smaller pool of lenders and usually with a larger deposit. Some concrete types need a structural report or evidence of repair to an approved scheme before a lender will proceed.
What lease length do lenders want?
Many want a minimum of around 70 to 85 years remaining at the end of the term. Below that, choices shrink, and extending the lease may be the practical fix.
My flat needs an EWS1 form. What now?
Ask the freeholder or managing agent whether a valid form exists. If it does and the rating is acceptable, many lenders will proceed. If not, options are narrower until an assessment is done.
Are rates higher on non-standard property?
They can be, because fewer lenders compete for these cases. A larger deposit and a clean survey help you reach the better end of what is available.
How do I know if my property is non-standard?
A surveyor or valuer can confirm the construction type. As a rule, if it is not brick or stone with a tiled or slate roof, a lender will treat it as non-standard.