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Asbestos in an older property can stop a mortgage from moving forward if the lender is not satisfied with the condition of the home.
The key issue is not just that asbestos may be present. The lender needs to know whether it affects the property’s value, safety or future saleability.
If the valuer flags it as a problem, the mortgage may be paused until the issue is properly checked and dealt with.
In some cases, this may mean arranging a specialist report. In more serious cases, the asbestos may need to be safely removed or repaired before the lender is willing to proceed.
Why Asbestos Can Stop A Mortgage
A lender uses the property as security for the mortgage, so they need to be comfortable that it is suitable to lend against.
If asbestos is damaged, exposed, difficult to assess or located somewhere likely to be disturbed, the lender may decide the risk is too high without further evidence.
This can leave the buyer or homeowner with a clear choice: get the asbestos properly assessed and fix what needs fixing, or risk the mortgage not being approved.
Older Homes And Later Life Borrowing
Asbestos is more likely to be found in older properties, which can make it relevant for older homeowners, later life borrowers and families dealing with homes that have not been updated for some time.
It may come up when buying a bungalow, downsizing, inheriting a property, raising money for home improvements or adapting a home for later life.
If planned work could disturb asbestos, the lender may want to understand how the issue will be managed before agreeing the mortgage or further borrowing.
What To Do If Asbestos Is Mentioned
If asbestos is mentioned in a valuation or survey, do not ignore it and do not try to deal with it yourself.
The next step is usually to arrange a qualified specialist to confirm where the asbestos is, what condition it is in and whether it needs to be removed, repaired or managed.
At UK Moneyman, our mortgage advisors can help you understand what the lender is asking for and how it may affect your mortgage options.
The asbestos itself must be assessed and dealt with by a qualified professional before the mortgage can move forward, if the lender requires it.
