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Self Build Arrears - 2 Year Discount up to £1,000,000

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  • Summary Back Copy 2

    For borrowers who are building their own home. This product is available for first time buyers. This product is only available via BuildLoan.

    Knock down and rebuild is now available - please note the applicant needs to have cleared the site before the first subsequent release is made.

    • Initial Rate, a discount of 2.24% from our SVR for 2 years

      6.35% variable

    • Followed by our Standard Variable Rate (SVR) for the rest of the term

      8.59% variable

    • The overall cost for comparison is

      8.9% APRC

    • Maximum Loan to Value

      80% including fees

    • Application Fee

      None

    • Product Fee - may be added to the loan

      £1,499

    • Build Loan Packaging Fee

      £695

    • Build Loan Insurance Fee

      £1,060

    • Early Repayment Charge

      Charges will apply to full redemption paid
      3% in the first year
      3% in the second year

  • Representative Example Back Copy 2

    A mortgage of £108,943 payable over 15 years initially on a discount of 2.24% from our Standard Variable Rate, currently 8.59%, giving a pay rate of 6.35% for 2 years on an interest only basis and then on our Standard Variable Rate, currently 8.59%, for the remaining period on a capital repayment basis would require 24 payments of £576.49 and 156 payments of £1,161.64.

    The total amount payable would be £199,082.60 made up of the loan amount plus interest (£86,108.60), a product fee (£1,499),  a valuation fee (£340), legal fees (£312), an exit fee (£100), a Build Loan security fee (£1,060), a Build Loan packager fee (£695) and a funds transfer fee (£25).

    The overall cost for comparison is 8.9% APRC representative.

  • Further Information Back Copy 2

    Fees

    Valuation/re-inspection fees and solicitor fees may be payable
    Other charges may be made in respect of mortgage services
    Build Loan packaging fee £695 - £95 payable at application stage and £600 after offer is issued. Non-refundable.
    Build out insurance from Build Loan £1,060.
    See our fees guide for more details

    Acceptable Credit Criteria

    This product accepts our standard credit criteria click here for details

    Early Repayment Charge (ERC)

    There is a charge of 3% of the capital balance for full redemption made in the first 2 years.

    Overpayments

    Overpayments are not permitted.

    Repayment

    These mortgages are available on an interest only basis during the first 2 years of the build, changing to capital repayment for the remainder of the term. Payments must be made monthly by direct debit.

    Stage Payments

    Advances are made in arrears based on the valuer's estimate of the value once the next stage is completed for the following stages:

    Stage 1 – Land with full planning permissions (max 80% Loan to cost)
    Stage 2 – Foundations to damp proof level (max 85% Loan to cost)
    Stage 3 – Wall plate level (max 85% Loan to cost)
    Stage 4 – Roof on and watertight ( max 85% Loan to cost)
    Stage 5 – Plastered out first fix ( max 85% Loan to cost)
    Stage 6 – Fully completed ( max 80% LTV)

    Build Timescales

    The build must start within 6 months of the offer.
    The build must complete within 24 months of the first stage release.

    Maximum LTV

    Maximum LTV on the release of funds at completion not exceeding 80% up to £1,000,000. Please contact us for full details.

    Age limits

    The minimum age is 21 for all applicants. There is no maximum age. Earned income considered up to age 75. Cases are considered on individual circumstances.

    Loan Size

    Minimum loan size £100,000

    Maximum loan size £1,000,000

    Maximum loan size for Custom Build is £500,000

    Minimum Property Value

    Minimum property value is £125,000.

    Mortgage Term

    The maximum mortgage term is 40 years dependent on individual circumstances.

    Portability

    This product is not portable.

    Interest

    Interest is calculated daily on the balance outstanding and added to the account the following month.

  • For borrowers who are building their own home. This product is available for first time buyers. This product is only available via BuildLoan.

    Knock down and rebuild is now available - please note the applicant needs to have cleared the site before the first subsequent release is made.

    • Initial Rate, a discount of 2.24% from our SVR for 2 years

      6.35% variable

    • Followed by our Standard Variable Rate (SVR) for the rest of the term

      8.59% variable

    • The overall cost for comparison is

      8.9% APRC

    • Maximum Loan to Value

      80% including fees

    • Application Fee

      None

    • Product Fee - may be added to the loan

      £1,499

    • Build Loan Packaging Fee

      £695

    • Build Loan Insurance Fee

      £1,060

    • Early Repayment Charge

      Charges will apply to full redemption paid
      3% in the first year
      3% in the second year

  • A mortgage of £108,943 payable over 15 years initially on a discount of 2.24% from our Standard Variable Rate, currently 8.59%, giving a pay rate of 6.35% for 2 years on an interest only basis and then on our Standard Variable Rate, currently 8.59%, for the remaining period on a capital repayment basis would require 24 payments of £576.49 and 156 payments of £1,161.64.

    The total amount payable would be £199,082.60 made up of the loan amount plus interest (£86,108.60), a product fee (£1,499),  a valuation fee (£340), legal fees (£312), an exit fee (£100), a Build Loan security fee (£1,060), a Build Loan packager fee (£695) and a funds transfer fee (£25).

    The overall cost for comparison is 8.9% APRC representative.

  • Fees

    Valuation/re-inspection fees and solicitor fees may be payable
    Other charges may be made in respect of mortgage services
    Build Loan packaging fee £695 - £95 payable at application stage and £600 after offer is issued. Non-refundable.
    Build out insurance from Build Loan £1,060.
    See our fees guide for more details

    Acceptable Credit Criteria

    This product accepts our standard credit criteria click here for details

    Early Repayment Charge (ERC)

    There is a charge of 3% of the capital balance for full redemption made in the first 2 years.

    Overpayments

    Overpayments are not permitted.

    Repayment

    These mortgages are available on an interest only basis during the first 2 years of the build, changing to capital repayment for the remainder of the term. Payments must be made monthly by direct debit.

    Stage Payments

    Advances are made in arrears based on the valuer's estimate of the value once the next stage is completed for the following stages:

    Stage 1 – Land with full planning permissions (max 80% Loan to cost)
    Stage 2 – Foundations to damp proof level (max 85% Loan to cost)
    Stage 3 – Wall plate level (max 85% Loan to cost)
    Stage 4 – Roof on and watertight ( max 85% Loan to cost)
    Stage 5 – Plastered out first fix ( max 85% Loan to cost)
    Stage 6 – Fully completed ( max 80% LTV)

    Build Timescales

    The build must start within 6 months of the offer.
    The build must complete within 24 months of the first stage release.

    Maximum LTV

    Maximum LTV on the release of funds at completion not exceeding 80% up to £1,000,000. Please contact us for full details.

    Age limits

    The minimum age is 21 for all applicants. There is no maximum age. Earned income considered up to age 75. Cases are considered on individual circumstances.

    Loan Size

    Minimum loan size £100,000

    Maximum loan size £1,000,000

    Maximum loan size for Custom Build is £500,000

    Minimum Property Value

    Minimum property value is £125,000.

    Mortgage Term

    The maximum mortgage term is 40 years dependent on individual circumstances.

    Portability

    This product is not portable.

    Interest

    Interest is calculated daily on the balance outstanding and added to the account the following month.