Location of property

Properties located in England, Wales, Scotland and Northern Ireland are acceptable. Properties located in outlying islands such as the Shetlands, Orkneys are acceptable however obtaining a valuation may cost considerably more if no panel valuer is located there. 

If your applicant(s) are wishing to purchase/remortgage here you should confirm the cost with your underwriter and we may require written agreement to this prior to requesting the valuation. 

 

Unacceptable properties

The following property specifics are not permitted. Please note this list is not exhaustive; please also read the other articles on the property specifics page.

• No internal bathroom and W.C. or kitchen
• Liable to be subject to clearance or compulsory purchase order
• Freehold flats and maisonettes
• HMOs (Houses of Multiple Occupancy)
• Isolated rural properties with restricted access and services
• Office to residential conversion 
• Residential property divided into bed sitting rooms
• Studio flats 
• Flats with balcony access i.e. access via covered walkway
• New build maisonettes/apartments/flats where the LTV exceeds 90% 
• Live/work properties
• Shared ownership 
• Shared Equity (Help to Buy scheme permitted) 
• Right to Buy 
• Local Authority multi storey blocks (Some properties may be considered in certain locations, please contact your BDM) 
• Timeshare accommodation 
• Holiday homes 
• Dwellings of totally timber construction i.e. not clad with brick, stone etc, including the log cabin/chalet type of construction 
• Single brick (single skin) construction 
• Partially built property 
• Properties with restrictions in place that would affect future marketability and resale value 
• City Properties with self-contained basement units which are (or are to be) let out 
• Ministry of Defence properties 
• Properties with two or more kitchens 
• Property comprising of more than one dwelling 
• Two-storey property where one is a commercial unit.


Properties with land

Properties with a large acreage of land attached must be valued on a ’house + immediate garden only’ basis (usually up to two acres of land and assuming commensurate with property type).  

Accord’s security will be the property and whole acreage of land.

 

Tenure

Acceptable Tenure:  Freehold and Leasehold in England and Wales (houses only - freehold flats are not acceptable)  
Acceptable Tenure in Scotland:   Absolute and Outright Ownership  (houses and flats.) 

Leasehold and ground rent

• There should be at least 85 years unexpired lease remaining at the start of the mortgage application
• There cannot be a provision that the lease is forfeit if the lessee becomes bankrupt
• Any new leases from 30th  June 2022 must not charge must not charge more than a nominal amount for ground rent, such as £1 annually - this includes voluntarily extended leases.
• Maximum initial ground rent to be no higher than £1,000 per annum
• Ground rent reviews to be a minimum of 21 years from the beginning of the lease, and at no more frequent intervals thereafter
• Increases in ground rent, at review, must be limited to no more than the higher of:
• a doubling of the rent payable immediately prior to the review or,
• a figure increased in accordance with the percentage change in RPI/CPI over the previous review period.

Estate rent-charge/freehold service charge 

Maximum initial estate rent-charge/service charge be no higher than £500 per annum in present value and must be no more than double every 25 years.

Freehold - Estate rent-charge/freehold service charge 

Maximum initial estate rent-charge/service charge be no higher than £500 per annum in present value and must be no more than double every 25 years.

Flying freehold

Flying freehold is only acceptable where it is 15%  or less of the whole property footprint. 

 

Properties above or below commercial

These properties must meet the following: 

• Have at least 3 storeys in the block of flats (to include commercial premises) - our property can be on any floor. 
• The valuer must confirm there is consistent and reliable demand for the property and the commercial element is acceptable. 

   

Cladding

Where the valuer has requested an EWS1 form due to the cladding being present on the property the following guidance will apply.  

A completed EWS1 form will be required from a member of a relevant professional body, along with a covering letter on headed paper which will confirm they are suitably qualified. This will then be assessed by our underwriters. 
 

If an EWS1 form is not available for a new build property a letter from the developer can now be accepted. This is subject to the letter being on a headed letter with the developer’s company details clearly present. The letter must confirm that the property is being built in accordance with the Building (Amendment) Regulations SI 2018/1230 and/or, that there are no materials included in the building of the flats that would cause an EWS1 form to be unsuitable.


Japanese knotweed

If Japanese knotweed is present at the property, the valuer must confirm what category/stage the knotweed is at and the following rules must be applied; 

• Category A and B –  The property may be considered as acceptable for mortgage purposes, subject to an inspection by a suitably qualified remediation specialist and commitment shown to the start of any recommended works under an insurance backed Japanese knotweed Management Plan.
• Category C and D –  Acceptable to lend.

If the valuer identifies a heavy stand of Japanese knotweed on neighbouring land (e.g. very close to the boundary) that may present a threat, the subject property should be declined. 

 

Tyneside flats

Accord Mortgages will require a charge to be taken over the freehold in addition to a charge over the leasehold title.

 

Unacceptable new build developments

Unfortunately, we are unable to accept applications for some new build developments. 
Use our handy New build development checker tool to check before you submit an application.

  

Steel framed

An Intrusive Structural Report (in accordance with BRE113) must be obtained on all pre-1980 steel.

 

Mundic

Mundic Properties are of concrete block construction, often found in Cornwall and Devon. Concrete deteriorates and in the worst cases the property may need to be demolished. 

If a test is required by the valuer this must be obtained before mortgage offer. 

We consider the gradings as follows:
A -  Acceptable
A/B -  Should be referred to the valuer to check it doesn’t affect his valuation
B and below -  Not acceptable
 
 

Pre-cast concrete

Precast reinforced concrete properties, designated under the Housing Act 1985, part XVI are acceptable if the property has undergone licensed repairs.  If the property is a flat, or adjoined to an unrepaired PRC property, then it is unacceptable, regardless of a report.