The Banks press Pause
Disappointing week. I've been waiting three months on a decision by the bank about splitting the property folio and allowing me to sell the old house but keep the side garden to build on. They are concerned if I don't sell the house they are taking a risk as the LTV would then exceeds the Central Bank limits. The reduced property value post split plus the fact I've only a year paid down on the mortgage plays into this. I thought they would hold the side garden as security but it doesn't work like that....
I've been talking to a few banks and my solicitor about options but the clearest to date is either to split the property at time of sale or wait a year, pay down the mortgage to get it below the 80% LTV threshold (depending on the valuation), then in a year ask the same question.
I'm all ready to go to tender - have builders lined up and the tender package written but without the bank's approval I can't proceed.
I'll wait to see if any other options emerge but getting access to the garden has been an issue from the start. I tried to buy directly off the previous owner but the banks didn't play ball, and now again I'm hitting institutions that we bailed out calling ME a risk! Anyway, rant over. Turns out nothing is simple. I can only ask the questions, the replies sometimes confound me!
Let's see where we are in 12 months......
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