The specialists’ products offer clients wanting to build their own home, either independently or on a custom build site, up to 85 per cent of their project costs. The mortgages have discounted rates until November 2024 with a 0.5 per cent completion fee.
Loans are available with additional funds released on completion of each stage of work or in advance under the group’s standard guaranteed stage payments policy, which is linked to the cost of each stage of work. There are no valuations during the build and the pattern of stage releases is agreed at application.
Chris Martin, head of product development and underwriting at BuildLoan (pictured), said: “We are seeing more clients looking to build higher spec homes and, therefore, need to borrow more.
“We know that funds being available at the right time during the build is hugely important to self builders.
“Advance stage payment options are a fantastic solution for clients with a smaller cash savings pot, particularly if they are building using an offsite-manufactured product that requires a larger up-front payment.
“Self-build can appear complex and our broker desk team can guide brokers to the right solution for their client.”
Louise Thorpe, distribution director from Darlington Building Society, added: “The self and custom build market is growing and is an integral part of our lending strategy.
We’ve developed these products with BuildLoan to give more potential self-builders the opportunity to build the home they want, through a product designed with their key needs in mind.”
