SPECIALIST ADVICE
Self-build mortgages
A self-build mortgage releases funds around the land purchase and construction stages rather than as one standard advance. The budget, planning position and schedule need to work together from the outset.
Fund the build in planned stages
A self-build mortgage releases funds around the land purchase and construction stages rather than as one standard advance. The budget, planning position and schedule need to work together from the outset.
Land and planning
Review ownership, planning permission, access and whether the site is acceptable security.
Stage payments
Understand when funds are released and whether payments are made in advance or arrears.
Build budget
Allow for professional fees, contingencies and costs beyond the contractor quotation.
Final mortgage
Plan the route onto an appropriate residential mortgage after certification and completion.
Self-build mortgages FAQs
Do I need planning permission before applying?
Requirements vary, but lenders will normally need a clear planning and build position before committing funds.
Can I live in another property during the build?
Potentially, but the cost of existing housing and borrowing will form part of the affordability assessment.
How much contingency should I hold?
There is no universal figure. Your budget should allow for overruns and the lender will review whether the project remains viable.
YOUR SMART MORTGAGES CONTACT
Discuss your plans with the right adviser.
Aaron or Tennielle will assess the project and route it to the appropriate specialist.
Important: Your home may be repossessed if you do not keep up repayments on your mortgage. Commercial mortgages, bridging finance and some buy-to-let arrangements are not regulated mortgage contracts. Smart Mortgages Limited is authorised and regulated by the FCA, reference 912358.