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Mortgage Advisor & Director
Can I get a mortgage to buy the house next door?
If you enjoy living in your area, your home is semi-detached, and you'd like extra space, you may have considered buying the property next door to yours. Or, you may be a landlord looking to expand your portfolio in the local area.
Many people are surprised to learn it is not that simple to get a mortgage on an adjoining property, with some lenders refusing outright.
As a non-standard mortgage, if you're looking to buy an adjoining property to one you already own, we would recommend engaging an experienced broker. Not only will they be able to boost your chances of approval and recommend the most appropriate lenders, but they'll also be able to find you the best deal possible.
At Teito, our team of experts have helped many people to find their perfect mortgage, even on non-standard requirements. Get started now, and you could be comparing mortgages in minutes.
Why is it a challenge to buy an adjoining property?
Lenders are generally wary of people looking to buy a house adjoining or neighbouring their existing property. There are a few reasons why this can ring alarm bells for underwriters:
- If you buy the property intending to merge the two to create a larger home, the lender will struggle to reclaim the asset should you default on mortgage repayments, assuming you have two separate mortgages. This scenario is more common for residential rather than buy to let lending.
- Even if the houses are not adjoining, some lenders are concerned about the locality of mortgaging multiple properties in the same area. They see mortgaging too many properties in the same street as a risk.
Why might you like to buy the house next door?
The majority of the time, it is landlords who already own a buy to let house and are looking to buy the adjoining house when it becomes available on the market. For landlords, having neighbouring properties creates simplicity in management and prior knowledge about achievable rental income.
Apply for a mortgage now
At Teito, as a whole of market broker, we work with more than 100 lenders offering 20,000 mortgage deals. Our advisors have helped thousands of people to find the perfect mortgage. Get started now and find the best deal possible.
Choosing an Adviser
Selecting a qualified and experienced mortgage adviser is of great importance. To choose a suitable adviser, evaluate their qualifications, experience, and reputation, and ensure they are regulated by the Financial Conduct Authority (FCA).
Read reviews from previous clients and make sure they provide a clear explanation of the products and services they offer, as well as the fees and charges associated with them.
