So, you want to buy a house. You have spent the last five years cutting your expenses in order to budget accordingly and save some money. Whether or not you have used the government’s scheme to help with the property, you have the money for a deposit now, so it is time to get pre-approved and start searching.

There are a bunch of things you might want to educate yourself on before even discussing with a bank, but at the same time, it pays off understanding how banks work. People often get rejected because they simply fail to find the right properties for their needs.

Some properties might look appealing to you, but banks will seriously consider their profitability. Is it worth giving you money for a certain project? All in all, here are the most common properties banks dislike – and why you should avoid them before asking for a mortgage.

Unusual constructions

A building based on brick and mortar is considered classic. Anything made of other materials could be innovative and obviously unusual. Whether it comes to concrete, cob or daub, such a home could raise some question marks for the bank. Plus, timber frames may also cause some issues, so you are more likely to be rejected.

High rise flats

High rise flats are usually available in tower blocks. Many of them belonged to the council. Many of them still belong to the local authority and they are often associated with all kinds of issues, from lift maintenance to crime. They could be difficult to resell, so banks try to avoid them.

Flats over shops

These flats are quite common and fairly inexpensive. Whether it is a restaurant, an office or just a convenience store, these properties might require other people to access them. They are difficult to value as well, so banks would rather choose an easier option.

Leaseholds

Many flats are offered on a leasehold, so you own them for a particular amount of time. If the leasehold is for less than 80 years, banks may want to stay away from it. Luckily, you can work on this problem by trying to extend the lease.

New builds

Banks are not so fond of new properties. They often value them at a lower price. In other words, you will need a bigger deposit. This is why many developers come up with all kinds of scheme – such as part buy and part rent – to help buyers.

Brownfield sites

Brownfield sites are industrial properties that might be contaminated. If you want to get a house there, the solicitor will need a certificate to prove decontamination or your mortgage application could be rejected.

Grade 1 listed properties

Repairs are usually quite expensive and unexpected situations may arise when least expected – not to mention the risk of fire. Many lenders deal with such buildings, but mostly when it comes to large businesses.

Too close to waters

Rivers are known to burst in the UK whenever a named storm kicks in. When close to the sea, erosion is just as harmful, so long term repairs could be overwhelming. Besides, valuing such homes can raise some problems.

In the end, there are certain ways to boost your chance to get your mortgage application accepted and sticking to a traditional house is usually one of the best ways to prevent unexpected situations. Sure, a different type of home could be very attractive, but on the same note, you might be rejected or you could be asked for a pretty large deposit. Furthermore, the government’s scheme to help new buyers will not really apply to unusual properties.