If you are a homeowner, you likely know that purchasing a property is one of the most significant investments you will make in your lifetime. However, when it comes to buying a property, there are various factors that you need to consider. One of these factors is cladding rules.
What are cladding rules?
Cladding rules refer to the regulations that govern the type of materials used to cover a building’s exterior walls. The use of flammable cladding materials in high-rise buildings has become a concern for many people since the Grenfell Tower fire in 2017.
Following the Grenfell Tower fire, the UK government launched an investigation into the use of cladding. The investigation revealed that many buildings had combustible cladding, which posed a significant risk to residents’ safety.
How do cladding rules affect mortgage lenders?
When you apply for a mortgage, the lender will assess the property’s value and risk. If the property you want to purchase has combustible cladding, the lender may refuse to provide you with a mortgage. This is because they see it as a high-risk investment.
Many mortgage lenders have tightened their lending policies regarding properties with combustible cladding. This has made it difficult for some homeowners to secure a mortgage or remortgage their property.
Why are mortgage lenders reviewing cladding rules?
The government has introduced new regulations that require building owners to remove combustible cladding from their buildings. However, this process can be expensive and time-consuming.
To help homeowners affected by the cladding issue, mortgage lenders have agreed to review their policies. The aim is to provide more support to homeowners who are remortgaging or purchasing properties with cladding issues. This will help to ensure that homeowners are not unfairly penalized due to no fault of their own.
What can homeowners do?
If you are a homeowner who is struggling to secure a mortgage or remortgage due to cladding issues, there are several things you can do:
- Contact your local council to find out if your building has combustible cladding.
- Speak to an independent mortgage broker who can help you find a lender who is willing to provide a mortgage on your property.
- Consider speaking to your current mortgage lender to see if they can offer you a better deal.
Conclusion
Cladding rules have become a significant concern for homeowners and mortgage lenders alike. However, with new regulations and policies in place, there is hope that homeowners will be able to secure mortgages and remortgages more easily. If you are a homeowner who is struggling to secure a mortgage or remortgage due to cladding issues, speak to an independent mortgage broker or contact your local council for advice.