Shared ownership mortgage declined

[ldi]

Hi everyone, 

I am in the process of purchasing 25% of a shared ownership flat and 2 of my mortgages applications (barclays and halifax) have now been declined for the same reasons : 

 

"they won't lend on the property as its an investment-led development property - It appears lenders are not liking the property due to the surrounding of the property and the development appears to be aimed at investors"

 

Could someone explain to me why  is this a problem for the lenders? surely that will not affect my capacity to repay my mortgage, and being a shared ownership, i would have thought the "small" amount = low risk for them?

 

I am starting to wonder - if i eventually find a lender -  am i shooting myself in the foot? the plan is to live there a few years and then resale, does this mean i will potentially struggle ?

 

Thanks for your help in advance

 

LDi

[afcbbroker]

Hi LDi, 

I've dealt with similar cases to this in the past, i'd be happy to arrange a call to discuss. 

When would work best for you?

Many thanks 

Daniel