A 5% builder’s deposit is now accepted as part of the overall deposit from the borrower; previously it would have to be deducted from the purchase price.
Lending on new build flats which have commercial premises on the ground floor and section 106 planning obligations are now considered.
New build mortgage offers are valid for six months with the option to extend the offer for a further three months if required. This compares to three months on a standard residential mortgage.
The maximum number of storeys accepted has been increased from 15 to 20 and a revised list of property warranty types has been added to its criteria guide.
Managing director Alan Cleary said the appointment of Kevin Beale as national sales manager of new build earlier in the year signalled the lender’s commitment to opening up new build mortgages to borrowers who do not fit the high street profile.
“It simply doesn’t make sense that people who have a minor blemish on their credit record or are self-employed find it extremely difficult to secure a new build mortgage,” said Cleary. “This is why we strive to support the needs of those left underserved by mainstream lenders and continue to develop our product range and proposition.”
