SELF BUILD MORTGAGES
Find out how they work, how much you can borrow, view case studies and get the free ultimate self build guide.
How Do Self Build And Custom Build Mortgages Work ?
The main difference between self build mortgages and custom build mortgages over a traditional mortgage is that the money is released in stages as the build moves forward, rather than as a single amount.
Typically 20% cash deposit is needed against the cost of the whole project (purchase of land & build costs). However there are lenders that will allow a lower deposit and we can fund projects with a deposit as low as 15% of the overall cost.
Funds can be released in advance or in arrears of each build stage. The cash flow of your project will dictate our recommendation to you.
Use our on-line calculators to find out how much you could borrow and how much your build would cost.
You only pay for funds that are live.
Most lenders will allow a product transfer to their standard mortgage range, post build and waive any early redemptions penalties. Some have no ties in at all and some are more restrictive.
All construction finance mortgage lenders will want to see a fully itemised and costed build including a contingency. The contingency requirement can vary from 10% to 20%. We’d recommend using the 20% contingency
Lenders will release funds for clients to buy land, subject to the plot having a minimum of outline planning or permitted development rights.
Those who already own land and have detailed planning agreed could release up to 100% of the build costs.
Stages of funds being released can vary slightly from project to project depending on the lender and the construction mechanism you are using.
lenders agree the full facility required at the out set and release funds as the build moves forward.
Most lender will allow an interest only concession during the build period to help keep cost down
Any self build lender will want to see that all the project financials are covered on paper to take the project to practical build completion . This means that the loan and or any savings must cover the purchase price of the plot and build cost including a contingency.
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FREE SELF BUILD GUIDE
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BUILD COST CALCULATOR
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MORTGAGE CALCULATOR
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FREE -PLOT FINDING SERVICE
Why Is It More Difficult To Get A Self Or Custom Build Mortgage
There are less lenders available for you then if you were buying a completed property. Currently none of the top high street banks fund self or custom build.
Of the lenders available each will want a detailed cost report including contingencies. Each lender has a different contingency requirement and may even have a minimum build cost they will lend against.
Even though all the self build lenders will agree your full facility at the outset they will release your funds in phases. As part of any application, they will want to see a cashflow forecast to ensure that the way their product releases monies will fit the requirements for your builds cashflow needs. If it doesn’t, they won’t fund.
The lender will need to know the details of the proposed development including the super structure, how the outer skin is attached, what it is and what certifications each element has. Every lender has differences in their criteria and nuances as what is and isn’t accepted.
Your lender will need to know what level of involvement you intend to take and who will be involved in the build. Some lenders are completely happy for you to lay every brick, others are not and this will depend on the development you have planned and you own circumstances.
Self Build lenders will require specific build insurances such a warranty and site insurance. Certain lenders accept some providers and not others and can different levels of requirements needed for the site insurnace.
How Much Is It Going To Cost Me To Build My Own House?
Find out today and use our free online build cost tool.
How Much Can I Borrow On My Self Build Mortgage?
Pop over to our self build mortgage calculator and find out within 5 minutes how much you could borrow.
We understand your problem because we’ve been there……
Get the answers you need and 121 assistance all the way to build completion….Book a FREE consultation call today with a self build expert.
What Fees Will I Have To Pay?
Mortgage Interest Rate. Currently similar to standard products
You will have a valution fee
Cost of conveyancing
Cost of warranty insurnace to pay
You’ll have a site insurnace fee to pay
Your lender may have a product fee
Our broker fee. Covered by our money back guarantee
Stage releases reinspection fees
Examples Of Stage Draw Downs
Timber Frame
Purchase of land
Preliminary costs & foundations
System erected on site
Wind & Watertight
First fix & plastering
Second fix to completion
Brick & Blocks
Purchase of land (remortgage if owned)
Preliminary costs & foundations
Wall plate level
Wind & Watertight
Second fix to completion
First fix & plastering
A self build, custom build or a conversion is a lot more complex than a standard purchase and every project is different. Here at Mayflower we have years of experience of helping clients build their own homes. We know the market in side out and always have you and your family at the heart of what we do.
With over 100 years of experience across the team, get in touch or book a free call today and get the solution you need in a stress free and quick fashion.
Why Work With Us?
We are family run business that place our clients at the heart of everything we do.
We’ll provide you with a FREE fully costed build report and quantified schedule Worth £1000.
We’ll Provide you with FREE photo realistic images of your finished project. Worth £700.
1-2-1 support from initial call to build completion.
Get instant Access to our Self Build Savers Solution. Find out more below.
We have exclusive products only available through Mayflower.
Get free access to online training for self builders.
We are a gold partner with NaCSBA and adhere to their code of practice.
We will run as many free project feasibility assessments for you as you need.
All of our advisers are construction finance experts.
We aid with planning the cash flow forecast for your project.
You’ll be working with a firm that has a 5 star service rating
Our Money Back Guarantee !
If you don’t feel we’ve delivered on value or service, we’ll refund any fees that have been charged by us…. PLUS we don’t charge any upfront fees.
If you’ve never worked with us, it’s just like buying a house without looking inside!
That’s why we provide a guarantee so you can work with us and experience what it’s like on the inside risk free.
If you’re not happy neither are we and we’ll refund any fees we may have charged when your mortgage completes.
Save £0000’s With Our Self Build Savers Solution!
Not just amazing mortgage advice and 121 support throughout
We also provide you access to numerous free services, discounts and cashback schemes
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3 Simple Steps To Get Funding
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1. Sign up to our Self Build Savers Solution or book a free call with one of our self build experts
We will be able to explain the whole process today, how much you can borrow, how much it is likely to cost and ultimately if your project is feasible to fund.
When you sign up for our Self Build Savers Solution you’ll be sent an email explaining how to get instant access to all of the features.
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2. If you’re ready to move forward
We give you a decision in principle with lender backed terms. We take care of all the paper work and walk you through next steps.
If you’re not moving forward with a mortgage you can still access our Self Build Savers Solution.
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3. We submit your application
We wont just place your case. You’ll have your dedicated self build expert with you until build completion.
FAQ’s
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The simple answer is YES. This will, However depend on your circumstances.
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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
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Absolutely
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You most certainly can
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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.