Can I get a standard mortgage on a house with an annexe?

Yes, provided the annexe is ancillary to the main property. Most lenders will treat it as a single residential dwelling. We match you with annexe-friendly lenders.

Does an annexe add value to a property?

Yes, annexes typically add significant value — both for the extra living space and the flexibility they offer for multi-generational living or rental income.

Can I rent out my annexe?

Potentially, but you may need a specific mortgage product that allows this. We can advise on lenders who permit annexe rental on residential terms.

Do I need separate buildings insurance for the annexe?

Typically the annexe is covered under the main property's buildings insurance, but you should ensure the policy explicitly includes it. We can help arrange appropriate cover.

Property with Annexe Mortgages

Properties with annexes can be tricky to mortgage — some lenders see them as two separate dwellings. We find lenders who understand and accept annexe properties.

Mortgages for Homes with Annexes

Whether it's a granny flat, converted garage, or purpose-built annexe, properties with self-contained living spaces attached raise questions for mortgage lenders. The key concern is whether the annexe constitutes a separate dwelling (which may need a different type of mortgage) or is genuinely ancillary to the main property. We specialise in finding lenders who accept properties with annexes on standard residential mortgage terms.

Lenders who accept self-contained annexes on residential terms
Advice on granny flats, converted outbuildings, and extensions
Multi-generational living arrangements understood
Planning permission and council tax implications explained
100% fee-free specialist advice

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What Counts as an Annexe?

An annexe is typically a self-contained living space attached to or within the grounds of a main property. It usually has its own kitchen, bathroom, and living area. Annexes range from converted garages and outbuildings to purpose-built extensions. The key mortgage question is whether it's classified as 'ancillary' to the main dwelling.

Ancillary vs Separate Dwelling

If the annexe is considered ancillary (dependent on the main house — e.g. sharing utilities, not separately let), most lenders will treat it as a standard residential property. If it's a fully separate dwelling with its own council tax band and entrance, some lenders may classify it differently, requiring a multi-unit freehold block mortgage.

Planning Permission

Annexes should have appropriate planning permission. Many are built under permitted development rights, while larger annexes require full planning consent. Some annexes have conditions attached — such as a requirement that the annexe is only occupied by family members. Lenders will check that all necessary consents are in place.

Rental Income from Annexes

If you plan to rent out the annexe, this may affect your mortgage type. Some lenders allow a 'let to buy' arrangement where the annexe income can support affordability, while others may require a different mortgage product. We'll advise on the best approach for your situation.