Six lenders change mortgage application rules for properties affected by cladding

Article summary

The Leasehold Advisory Service has reported that six major lenders have changed their rules in response to guidance released which will help assess the value of properties with cladding. The change allows mortgage applications on properties in England over 11 metres tall and some banks have removed the EWS1 certificate requirement for these buildings. Obtaining a mortgage with one of the six banks requires evidence that at least one of the following criteria will be met—the cladding issue will be fixed by the developer, the building is covered by one of the recognised Government schemes, or the leaseholder protections in the Building Safety Act 2002 apply.