Building your own home is not for the faint-hearted. And on top of everything else, you’ll need to take out a special self-build mortgage to finance it.
As you might expect, self-build mortgages work differently from house purchase mortgages. Rather than getting all the cash upfront, your lender will release it in stages to fund the construction. These stages might include buying the land, right through to decorating the interior – and everything in between.
To make things more complicated, your lender may want to pay after each construction stage is successfully completed. Of course, most borrowers prefer payment in advance, as it puts less financial strain on them, but not all lenders will agree to it. It’s another aspect of your planning that will need careful thinking and a thorough assessment of what your lender is prepared to offer.
Get in touch with our staff today for more information about mortgages for self builds.