Following the government’s announcement on restricting physical property valuations to enable social distancing and help prevent the spread of Covid-19, our valuers are currently unable to visit properties and carry out physical inspections.
We have reviewed our policies and, where we can find an alternative to a physical valuation – either a desktop valuation or an automated valuation model (AVM) – we will continue to lend on the following:
- Residential purchases, where the maximum loan-to-value (LTV) is 75% or below
- Residential re-mortgages, where the maximum LTV is 85% or below
- Buy-to-let re-mortgages, where the maximum LTV is 65% or below
Whilst social distancing measures remain in place, it won’t be possible for valuers to physically inspect properties. This means for the time being, we will be unable to lend on the following properties:
- New build
- Flats
- BTL purchases
- Properties in Northern Ireland
- Non-standard methods of construction
- Properties valued at more than £1m
We will look to apply the above rules to our pipeline cases to progress as many of these as possible. Pipeline cases where we cannot use desktop valuations or AVMs will remain in the pipeline until a physical valuation can be carried out.
Applications in Scotland
Following guidance issued by UK Finance, the Law Society of Scotland and Register of Scotland, along with advice we’ve received from our own Scottish legal advisers, we are pleased to confirm that Scottish completions will continue to take place.
ID&V update
Please note that in the current circumstances:
- We will continue to complete an electronic ID (EID) check for all applications as per our standard policy.
- For any applications that do not pass the EID check we will request copies of ID documents, but as per our standard policy, these do not need to be certified.
- Whilst we would normally expect a broker to have seen and taken a copy of the original ID documents before submitting the application, given the current social distancing measures in place, we understand brokers may not have/will not be able to obtain original documents to copy.
- In these circumstances, we are temporarily allowing acceptance of copied documents where the broker has not seen the original eg. where the customer has taken a copy/photo and sent that to the broker electronically.
We wanted to update you on these changes immediately. The website will reflect this new information as soon as possible.
If you have any further queries on a new or existing case, please contact your BDM in the first instance or use the Accord webchat function.
