The answer to this question is not a simple yes or no. Whether you can get a mortgage on a house with asbestos largely depends on the type and amount of asbestos present in the home, as well as the lender's individual requirements.
It can be present in the form of insulation, roofing, siding, or floor tiles and while it is not necessarily something you want to find in a home you are considering buying, it does not always mean that your mortgage will be declined.
Key Takeaway
While you can get a mortgage on a house with asbestos, there are certain steps you must take in order to do so. It is important to make sure the home is inspected for asbestos and a qualified contractor is hired to remove it if necessary. Additionally, lenders may require further documentation to ensure any asbestos present in the home has been safely removed. It is also important to consider the financial implications of having asbestos in a home, such as additional costs for removal and inspection.
What Is Asbestos?
Prior to 1980, asbestos was used widely in building materials due to its affordability and fire-resistant qualities. However, it has since been found that exposure to asbestos can cause serious health problems such as lung cancer, mesothelioma, and other respiratory diseases. As a result, the Environmental Protection Agency (EPA) has placed strict restrictions on how asbestos is handled and disposed of.
Why Does Asbestos Make It Harder to Get a Mortgage?
The presence of asbestos makes it more difficult to obtain a mortgage because lenders are concerned about the potential health risks that exposure to the material may pose. Additionally, lenders want to ensure that the property is safe and structurally sound and therefore they may require additional tests or inspections prior to approving a loan.
How To Get A Mortgage On A House With Asbestos
The best way to get a mortgage on a house with asbestos is to make sure that the property has been properly inspected and all necessary steps have been taken to ensure safety. Additionally, you may want to consider applying for a loan with a specialized lender that understands the risks associated with asbestos. These lenders can often provide more flexible terms as well as competitive interest rates and loan terms that are specific to properties with asbestos.
If you decide to buy a home with asbestos present, it is important to take the necessary steps to ensure that you and your family are safe. This may include having regular tests done and taking steps such as sealing off any exposed areas or having them professionally removed by a certified asbestos abatement specialist.
What Are the Health Risks of Having a Home with Asbestos?
The health risks associated with having a home with asbestos present are serious. Exposure to the material can lead to lung cancer, mesothelioma and other respiratory diseases. It is important that any home with asbestos present be inspected regularly and all necessary safety precautions taken. Additionally, it is important to ensure that any removal of asbestos from the property is done by a certified and qualified professional to ensure that it is done properly.
Which Lenders Will Approve Mortgages for Properties with Asbestos?
There are a few specialized lenders that will approve mortgages for properties with asbestos. These lenders may require additional testing and inspections prior to approving the loan, but they can often provide more flexible terms than traditional lenders and provide competitive interest rates. Additionally, these lenders typically understand the risks associated with asbestos and can offer specific loan terms that are tailored to properties with asbestos.
It is important to keep in mind that getting a mortgage on a home with asbestos present may take more time and effort than obtaining a loan for a traditional property. However, if you are prepared to put in the extra work, it is possible to find a lender that will provide you with the financing you need.
Can I Sell My Home if It Has Asbestos?
Yes, you can sell a home that has asbestos present. However, it is important to keep in mind that potential buyers may have concerns about the health risks associated with exposure to the material. As a result, they may choose not to purchase your home or may require additional inspections and tests prior to making an offer. Additionally, you may need to employ a certified asbestos abatement specialist to remove any exposed asbestos before the sale is finalized.
It is also important to note that, in some cases, you may need to disclose the presence of asbestos on the property disclosure form prior to selling your home. This is why it’s important to be honest with potential buyers and make sure they are aware of any risks associated with the property.
Does Asbestos Siding Affect Resale Value?
Yes, asbestos siding can affect a home’s resale value. Potential buyers may be concerned about the presence of the material and its potential health hazards. As a result, they may not be willing to pay full market value for a property with asbestos present. Additionally, depending on the extent of the damage to your home, you may be required to replace or repair the siding before selling.
In some cases, you may be able to find a buyer who is willing to accept the home as-is and take on any necessary repairs themselves. However, it’s important to keep in mind that the presence of asbestos can significantly reduce your home’s resale value.
Can Asbestos Be Removed?
Yes, asbestos can be removed. However, it is important to note that the material should only be handled by a certified asbestos abatement specialist. It is also important to keep in mind that any removal of asbestos must take place in accordance with applicable federal, state and local laws. Additionally, if you are considering selling your home or refinancing your loan, you may need to obtain a certification from an asbestos abatement specialist prior to finalizing the sale.
Overall, it is important to understand the risks associated with having a home with asbestos present and take all necessary steps to ensure safety. Additionally, if you are considering obtaining financing for a property with asbestos present, it may be beneficial to speak to a specialized lender who can provide you with the necessary information and financing options.
Final Thoughts
Getting a mortgage on a home with asbestos can be difficult, but it is possible if you take the proper precautions and work with a lender that understands the risks associated with such properties. By taking the time to thoroughly inspect the property and find an experienced lender, you can rest assured knowing that your family will be safe and secure in your new home.
Ultimately, the best thing to do when considering a property with asbestos is to research all of your options carefully so that you can make an informed decision. It may not be easy but it is worth it in the end to ensure a safe and healthy environment for you and your family.