How to Sell a House That’s Unmortgageable (or Not Mortgageable)?

Finding out your property is labelled “unmortgageable” (or “not mortgageable”) can feel like a major setback. Mortgage lenders may not touch it — but that doesn’t mean you can’t sell. In fact, many UK homeowners are in this situation, and there are still clear routes to a fast, successful sale.

This guide explains what makes a house unmortgageable, why it matters, and the best ways to sell when traditional buyers can’t get a mortgage.

What Does “Unmortgageable” or “Not Mortgageable” Mean?

An unmortgageable property is one that mainstream banks and lenders refuse to secure a loan against. This limits your buyer pool, since most people need a mortgage to buy.

Common reasons a house might be unmortgageable:

• Structural defects like subsidence, damp, or a damaged roof.
• Short lease (typically under 70–80 years).
• Non-standard construction such as concrete or timber-framed builds.
• Missing essentials like a kitchen, bathroom, or safe electrics.
• Legal complications such as boundary disputes or missing consents.

Put simply: if a surveyor flags it as too risky, lenders won’t offer a mortgage.

Why Is It Hard to Sell a Not Mortgageable House?

The main problem is the shrinking buyer pool. With mortgages off the table, only cash buyers, investors, or specialist companies can proceed.

That means:

• Estate agents may struggle to generate interest.
• Sales often fall through after surveys.
• Sellers face long waits, price drops, or uncertainty.

Your Options for Selling an Unmortgageable Property

1. Sell to a Cash House Buying Company

• Specialists like Upstix can buy directly for cash.
• Guaranteed fast sale, often in 7–14 days.
• No repairs, surveys, or open-market delays.
• Price is usually below market value, but the trade-off is speed and certainty.
• Ideal if you want to move on quickly without risk of fall-throughs.

2. Property Auctions

• Auctions attract cash-rich investors looking for projects.
• You may get competitive bidding, but also risk low offers.
• Once the hammer falls, the sale is legally binding.
• Faster than estate agents, though not always predictable.

3. Fix the Issues (If Possible)

• Renovate to address the mortgageability problem — e.g., extend the lease or fix the roof.
• Once resolved, you can list on the open market to regular buyers.
• Downside: requires time, money, and effort.

4. Sell to a Private Investor or Developer

• Many investors specialise in buying problem properties.
• Can be quicker than traditional routes, but less secure than selling to a regulated company.
• Still limited by buyer reliability — investors can walk away.

Which Path Works Best?

• Need a guaranteed, fast exit? → Cash buying company (e.g. Upstix).
• Willing to gamble for a higher price? → Property auction.
• Can afford time and repairs? → Renovate and relist.
• Happy to negotiate with individuals? → Private investors.

Key Takeaway

An unmortgageable house (or not mortgageable property) isn’t unsellable — it just requires a different approach. By focusing on cash buyers, specialist companies, or investors, you can still achieve a sale and move on with certainty.

If speed and security matter more than squeezing every last pound, companies like Upstix can provide a free cash offer and complete in weeks, not months.

👉 Next Step: Want to know how much your unmortgageable property could sell for? Get a free, no-obligation cash offer today.

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FAQs About Selling an Unmortgageable House

Can you sell a house that’s unmortgageable?
Yes. While traditional buyers may struggle to get a mortgage, you can still sell to cash buyers, property auctions, or companies like Upstix that specialise in quick, hassle-free purchases.

What makes a property unmortgageable?
Common reasons include short leases, structural problems, non-standard construction, missing facilities (like a kitchen or bathroom), or legal disputes. Lenders view these as too risky to finance.

Is it better to fix the issues before selling?
If you have the time and money, resolving the problem (e.g., extending a lease or fixing damp) can open up the market to more buyers. But if you need speed and certainty, selling directly to a cash buyer like Upstix may be the better route.

Will I get less money for an unmortgageable property?
Typically, yes. Cash buyers and investors factor in the risk and cost of repairs, so offers are usually below open-market value. However, you benefit from speed, guaranteed completion, and no hidden costs.

How quickly can I sell a not mortgageable house?
With Upstix, you can often complete in as little as 7–14 days. Property auctions may take longer, and traditional sales can drag on for months — if they go through at all.

Are cash house buying companies like Upstix safe to use?
Yes, as long as you choose a reputable company. Upstix provides transparent offers, covers legal costs, and guarantees completion once you accept, giving you certainty in a difficult situation.

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