PRC construction mortgage

A PRC construction mortgage applies to properties built using prefabricated reinforced concrete methods, which mortgage lenders class as non-standard construction. PRC that has not been repaired is generally declined by lenders that publish a policy; repaired PRC is considered by some lenders with a repair certificate and, often, evidence that the adjoining homes were repaired too. In England and Wales, some PRC house types were designated defective under the Housing Defects Act 1984, now Part XVI of the Housing Act 1985, and Scotland repealed its equivalent regime in 2018; lenders apply their own rules whether or not a type is designated. For buy to let, a lender considering a mortgage on a repaired PRC property of non-standard construction looks at the repair certification and the long-term structural evidence as well as its usual rental assessment.

Why lenders care about PRC construction

Unrepaired PRC homes carry known structural risks linked to the concrete deteriorating over time: BRE, which runs a PRC repair scheme, says repairs are needed because of concrete carbonation, and that mortgage lenders have been reluctant to lend on these homes or to offer home insurance. That creates uncertainty about durability, insurability and resale demand. From an underwriting perspective, these risks affect valuation confidence and how far the lender can rely on the property as long-term security.

What lenders typically look for

Lenders that consider PRC repaired under a recognised repair scheme ask for clear evidence of it. That means the repair or completion certificate, which some lenders accept only if it was issued at the time of the repair (West Bromwich Building Society, for example, does not accept retrospective certificates, according to its lending and security guidelines of August 2026), or a structural engineer's confirmation, together with valuer commentary in the mortgage valuation confirming the property is acceptable in the open market following repair.

Common reasons PRC mortgage cases fail

A PRC mortgage application can fail where repairs are incomplete, undocumented or carried out outside an approved scheme, where the attached home in a semi or terrace was not repaired to the same standard, or where the home is a PRC flat, which several lenders decline. Missing certification, or a valuer's uncertainty about how the repaired home will sell, can also lead to a decline.

How PRC mortgage ability can be improved

Full PRC repair documentation helps: the certificate and any guarantee, details of the repair scheme and evidence that the neighbouring homes were repaired. The valuer then has to confirm that the repaired property is structurally sound and marketable on resale. Before an application, the case is matched to a lender whose published rules accept that PRC system and that type of repair.

Buy to let considerations for PRC properties

Buy to let and residential rules on PRC can differ by lender, although some lenders publish the same repaired-PRC conditions for both. Even where a repaired PRC property is acceptable, lenders often add conditions they do not apply to standard construction, such as a limit on storeys, a bar on PRC flats or evidence that the adjoining homes were repaired to the same standard.