SELF BUILD MORTGAGES

The simple answer is YES. This will, However depend on your circumstances.

The answer is YES. However we would have to use other funding methods to secure the land purchase other than a self build product, as planning is needed for this avenue of funding

Absolutely

You most certainly can

Just because your credit is impaired does not necessarily mean you would not be eligible for a Self Build. We would have to review your credit history.

As of mid 2024 there are none of the well know top high street banks that have self build mortgage products or custom build mortgage products. Use are quote tool or call the team to find out which lenders would suit your project requirements.

Each self build mortgage lender will have differing criteria on how they asses income and at what multiple's of income they fund. You can use our self build mortgage quote tool and find out an indictive lending figure

There could many ways of funding your self build project in addition to a self build mortgage. This may include re-financing existing property, using savings or taking a development loan, amongst others. If you are using the land as security for the lender, have no other assets and are intending to live in the property a self build mortgage may be teh cheapest way to fund your project.

Depending on your build cost and expected end value you may not need any cash at all and fund 100% of the build your costs using your self build mortgage.

A self build mortgage is regulated in the same way as a standard mortgage most lenders will allow a term that aligns with teh expect income stream stopping which is being used to fund the project.

A self build mortgage can be set up on a repayment basis ensuring when you get to the end of the term the whole debt you originally borrowed on your self build mortgage is repaid.

To keep the most self build mortgage lenders available you'll need 25% cash deposit of your project cost including the land cost and build cost. Unless the land is already owned. Read more in our blog about deposits for self build mortgages HERE

Budgeting for a self-build mortgage involves careful planning and considering several factors affecting the total cost. Here's a breakdown to get you started:

1. Land Cost:

• Factor in the price of the land you'll build on.

2. Build Costs:

• Research average build costs per square meter in your area.

• Consider using our self-build cost calculator to get a more specific estimate based on the size and features of your planned home. Find out how much your build will cost HERE

3. Contingency Plan:

• Include a buffer of 10-20% in your budget or additional borrowing on your self build mortgage for unexpected costs that may arise during construction.

4. Lender Borrowing Limits:

• Typically, self-build mortgages allow you to borrow up to 75% of the total project cost.

• Find out how much you could borrow on a self build mortgage HERE

Your self build mortgage application will usually take between 8-12 weeks from application to offer. Some self build mortgage lenders can offer your mortgage between 6-8 weeks. Your adviser will be able to tell you how long your self build mortgage lender will take once you have the ideal lender in place.

We provide an up to date rate table of a sample of self build mortgage rates on our self build mortgage page within our website.

Traditionally self build mortgages would be released in 5 stages, those being:

1. Foundation

2. Wall Plate

3. Wind & water tight

4. First fix

5. Second fix & completion

However most self build mortgage lenders now-a -days will allow flexible draw downs at any point during the build with an unlimited number of draw downs available throughout your self build.

Each self build mortgage lender has different criteria on the amount of draw downs they will allow. You adviser will ensure that the self build mortgage lender that you are paired with allows the expected number of inspections you need on your self build mortgage.

We provider a sample of current self build mortgage rates on our self build mortgage page within our website.

Generally Self build mortgages will tend to be slightly more expensive then a traditional mortgage used for a completed property. Vist our self build mortgage page and find out the latest self build mortgage rates