There’s often some great opportunities to be had when looking for your next home if you consider flats above shops. These can be found on individual buildings, often having been business owner’s accommodation in the past, or above a row of shops in the typical 1970’s style shopping parade still found in so many towns.
Many prospective homeowners find their hopes dashed because they can’t get a mortgage on a flat above a shop or commercial premises
Leaving them missing out on what may be a great opportunity to put down roots and make a home in a bustling, cosmopolitan part of town. Living in a flat above retail or leisure businesses is becoming more & more common in our larger cities with larger spaces available for the cost of a smaller flat in an apartment block.
Some sources believe that this rising popularity might lead to premium prices being charged in the future when the flats are sold but our top tip is to check out insurance costs before you move as premiums might be higher for flats above commercial kitchens.
Some lenders – and their valuation surveyors are wary of lending to residential flats above retail premises
As they could be harder to sell (if repossessed) than properties in a purely residential area and it’s this resale security that mortgage loans are lent against. But all is not lost, at Martland Mortgages, we’ve years of experience in dealing with just this situation and have access to lenders who will take a more realistic approach and look at all factors.
For example, it can help hugely if the flat has it’s own private, self-contained entrance, completely separate from the business below and if there’s no smelly takeaways or restaurants right underneath, that can help prove the sale-ability of the flat.
Here at Martland Mortgages, we’re on your side. We have decades of experience and the network of contacts to be able to not only know which lender is most appropriate, but to present your case individually to the underwriters, explaining all aspects of your application & situation.
So don’t rule out flats above shops in your search for a new home, whatever the home you set your heart on, we’ll try our very best to get you the right mortgage.