Where can my daughter get a loan to buy and renovate a house?

Q My daughter is very interested in buying a house she has seen for sale, but it is in a bad state of repair and has an asking price of around £75,000 which must be a cash offer. If the house were repaired it would be worth about £120,000 and she has an estimate of £30,000 to bring the house up a very good standard. My daughter is a first-time buyer with £15,000 in savings to put towards the costs. Can she get a short-term loan to buy the house and do enough repairs to enable her to get a mortgage of about £100,000? What is the best way to go about this? MA A Your daughter will not be able to borrow what she needs to buy the property without some form of security, which means a mortgage. So if the seller is insisting on cash, your daughter is stuck – unless you are prepared to lend her the money. However, if the seller is willing to consider offers from people who need a mortgage to provide the purchase money, your daughter could be in luck. Although most lenders won't lend on a property which is uninhabitable, there are some who will. These include Buildstore , the Ecology building society and the Norwich & Peterborough building society . What these lenders offer is a mortgage based on the eventual value of the property once renovated, with the money being released in stages as building work progresses. The most these lenders pay out initially is based on the current value of the property. Buildstore will advance 95% of the current value, Ecology BS 85% (provided this does not exceed 2.5 times income) and Norwich & Peterborough will make an initial advance of 75% of the lower of the purchase price and the property's current value.