Spray foam insulation has become a popular choice for homeowners looking to improve energy efficiency and reduce heating bills. It can offer excellent thermal performance and help lower carbon footprints. However, for those buying or remortgaging homes in the UK, spray foam insulation can present significant challenges—particularly when it comes to securing a mortgage.
What Is Spray Foam Insulation?
Spray foam insulation involves applying a liquid foam that expands and hardens to fill gaps and cavities within walls, roofs, and floors. It creates a strong airtight seal, reducing heat loss and drafts.
While this sounds ideal, its use in residential properties can complicate mortgage applications.
Why Do Mortgage Lenders View Spray Foam Insulation as a Risk?
1. Hidden Damage Risks
One of the biggest concerns is that spray foam can trap moisture behind walls, leading to damp, rot, or structural damage that isn’t visible during standard surveys. This hidden damage can be costly to repair and affect the property’s long-term stability.
2. Difficulties in Property Valuation
Surveyors may struggle to accurately assess the condition of walls and insulation when spray foam is present, which can impact the lender’s confidence in the property’s value.
3. Limited Guidance and Experience
Many lenders and valuers lack clear guidelines or experience dealing with spray foam insulation, making them cautious or unwilling to lend without higher deposits or additional checks.
What Does This Mean for Buyers and Remortgagers?
- Some lenders may refuse mortgages altogether on properties with spray foam insulation.
- Others may require a larger deposit or impose stricter lending criteria.
- You might need a specialist survey or report to satisfy lender concerns.
How Can We Help?
Here, we understand the challenges spray foam insulation presents. We work with lenders who have experience in this area and can often find solutions others can’t.
Our expert brokers will:
- Assess your property and circumstances carefully
- Identify lenders willing to consider spray foam insulation properties
- Guide you through the application process smoothly
- Help you prepare any additional documentation or surveys needed
Final Thoughts
If you’re considering buying or remortgaging a property with spray foam insulation, it’s important to get advice early. The right broker can make a huge difference in finding a mortgage deal that works despite the challenges. It can cost around £50 per SQM to remove!
Emily's Mortgage Services LTD 