Residential mortgage on Multi Unit Flat Block
Residential mortgage on Multi Unit Flat Block
Author
Discussion

trowelhead

Original Poster:

1,867 posts

151 months

Wednesday 12th September 2018
quotequote all
Is it possible to obtain a residential mortgage on a multi unit block of flats. For example, a freehold building divided into 4 flats, live in one and rent the other 3 out?

I know it is possible to buy for example an equestrian property, e.g a farmhouse (residential) with other outbuildings / cottages that would be rented out (commercial)...

stut4

172 posts

177 months

Thursday 20th September 2018
quotequote all
you'd need a semi commercial for that if you plan to live in part.
a BTL mortgage from a specialist BTL lender would only lend if all parts are to be let out.
a residential mortgage lender is unlikely to lend if the other flats are to be let out - unless you could get a bespoke deal from a elite lender like Handlesbanken etc if the property was prime location worth millions.

Killer2005

20,599 posts

258 months

Thursday 20th September 2018
quotequote all
From when I worked at Barclays the freehold would need to be in a management company name, then would need leasehold over the each individual units but they wouldnt do the full block under one mortgage.

Rangeroverover

1,523 posts

141 months

Friday 21st September 2018
quotequote all
Discussed this with my mortgage man, can be done with a secondary lender he says.....let me know if you're going to do this

trowelhead

Original Poster:

1,867 posts

151 months

Friday 21st September 2018
quotequote all
Rangeroverover said:
Discussed this with my mortgage man, can be done with a secondary lender he says.....let me know if you're going to do this
How would that work - it's something i'd really like to do - if there is mortgageability...

trowelhead

Original Poster:

1,867 posts

151 months

Friday 21st September 2018
quotequote all
I already know the high street banks are unlikely to touch this - i'm looking at the likes of shawbrook, aldermore etc the more specialist / bespoke lenders...