Mortgages & Offers

Self-build funding is as diverse as the projects themselves. From selling your existing home and living on site in a caravan to accessing the equity in existing home the options are as varied as the projects that are built. Our job is to guide you through the options and find the most suitable solution for you to build the home of your dreams.​

Option 1

Self-Build Mortgage

There are around 20 building societies offering specialist self-build mortgages with a variety of terms on offer.

 

This is the simplest approach to self-build finance but takes time to organise. The lender needs not only to be comfortable that you can afford the mortgage but also that the project is well structured and pricing is under control to ensure that you can build a quality product on time and on budget.

 

Key Points:

 

  • Up to 95% loan to land purchase and loan to cost.
  • Typical interest rates from 5.5-9% subject to loan to cost and lender.
  • Advance or arrears funding release available.
  • Payments monthly like a normal mortgage.
  • Flexible term of up to 25 years spreading the costs and taking the pressure off the build time.

Option 2

Self-Build Land & Development Bridge

Quick and with fewer checks, this can provide a great option if you already have a mortgage on the house you own and running two mortgages, one on your existing property and another on the self-build is not affordable but you don’t want to move out until your dream project is complete.

 

Key Points:

 

  • Up to 70% of cost and land purchase capped at 65% of completed value.
  • Typical interest rates of 1-1.5% per month.
  • Funding in arrears.
  • No payments to be made during the term.
  • Typically a 12 month term, max. 24 months.

Funding your Deposit

If you have equity in your existing property we can use a second charge loan secured on your current home to release up to 100% of the value of your house to use. This means you can continue to live in your existing house but use the value to help fund your self-build project.

 

Finding the most suitable mix of loan structures to realise your dream self-build homes is a complex task. We will be happy to guide you through the options and provide illustrations of the costs.

Typical Example

£375,000 on a 2 year fixed rate mortgage at 1.03% could be as low as £992 pcm based on a 30% deposit and a 25 year term. Subject to status.​