The mortgages are aimed at those looking to construct a new-build property for residential purposes or convert an existing barn into a home. Self-builders will be able to borrow up to 65% loan-to-value (LTV) on the purchase of land and up to 75% LTV of the final value of the property.
The two products will be available exclusively through Buildstore and include a 4.39% two-year discounted product with no early repayment charges, and a 5.19% two-year fixed rate product. There are no lender booking fees, stage release charges or revaluation costs and both products come with a £1,499 arrangement fee.
Nikki Warren-Dean, head of intermediary sales at The Nottingham, said: “Given the level of housing supply shortage we continue to face in the UK the self-build market is predicted to grow by around 3% to 6% annually over the next three years. In view of this, many people are likely to need help finding the right mortgage and I believe our new mortgage products will be very attractive.”
She added: “By minimising upfront fees and offering competitively priced products we aim to help self-builders at a time when they have large outgoings.”
Raymond Connor, chief executive of Buildstore, added: “Public awareness of self-build is now at an all-time high. The government’s continued support of the self-build market means that demand for tailored finance is continually on the rise and prospective self-builders are increasingly turning to specialists to secure the right type of funding for their bespoke home projects.”
